👉 When will the futures position be liquidated? Simple calculation with cross margin 🧮 Conditions: Long Leverage: 25x Position size: 1000 $USDT or 40 USDT from balance (40*25) Account balance (cross): $1000 Formula: Liquidation price = Entry price × (1 - (Balance - MM) / Position size) MM — maintenance margin (approximately 0.5% of the position). 💡 When entering at $1000: MM ≈ $5 Liquidation price ≈ 1000 × (1 - 995 / 1000) = $5 ✅ Conclusion: With cross margin and such a ratio of volume and balance, liquidation will occur only if the price drops by almost 99.5%.
📉 This is a very wide margin — but only with a small position and a large balance.