Bitcoin, then reopened a new one with 40x leverage, totaling $54.9 million at a BTC price of $94,709. This is an extremely high-risk trade due to the leverage.
To calculate the liquidation price, we need to know whether this is a perpetual futures position and which exchange it's on (since each has its own liquidation mechanics). But with 40x leverage, the liquidation typically occurs at around 2.5% movement against the position.
So, for a short position opened at $94,709:
Liquidation price ≈ $94,709 * (1 + 0.025) ≈ $97,076
This means if BTC rises just ~2.5% from the entry point, the position could be liquidated.
Example: Bitcoin Short at $94,709
Key Point:
The higher the leverage, the smaller the price move needed to liquidate your position — making it far riskier.
