Introduction
In a bid to enhance the trading experience within the futures market, Bitget has made significant updates to the estimated liquidation price and position margin calculation. These changes are designed to offer traders more accurate tools for risk management, which is crucial in the volatile landscape of cryptocurrency trading.
Optimized Estimated Liquidation Price Calculation
Bitget has adopted a new algorithm that integrates multi-dimensional market data in real-time to optimize the calculation of the estimated liquidation price. This upgrade ensures that the estimated liquidation price better reflects the risks associated with positions, thus making alerts more precise and reliable. These enhancements provide traders with a clearer understanding of their positions, aiding in more informed decision-making.
For specific technical details regarding the changes, users are encouraged to refer to the Bitget support article.
Updated Position Margin Calculation Logic
The position margin calculation has also been revised. Previously, the formula to calculate margin was:
| Item | Previous Formula | New Formula | Benefit |
|——–|————————————————————|——————————————|—————————————————————|
| Margin | Position size × average entry price ÷ leverage | Position size × mark price ÷ leverage | Reflects fair market value in real-time |
Implications of the Update
- Dynamic Available Balance Calculation
Available balance will now be dynamically calculated with the utilized margin being deducted from account equity. - Real-Time ROE Updates
The return on equity (ROE) will also now update in real-time, calculated as ROE = unrealized PnL ÷ margin. - Automatic Recalculation for Existing Positions
All existing positions will be recalculated automatically using the new margin calculation logic.
How to Adapt to the New Changes
To fully utilize these new features and metrics:
- Update your Bitget app to the latest version (Android/iOS v3.0.0 or above).
- Navigate to Futures Account > Position Details in your app to view the updated metrics.
- It is advisable to test the new calculation logic in a demo trading environment before executing real trades.
Conclusion
These recent updates from Bitget are a strategic move to enhance the trading experience for its users, granting them improved risk management tools through more accurate liquidation price calculations and dynamic margin evaluations. Traders are encouraged to familiarize themselves with these changes to capitalize on improved trading accuracy and efficiency.
If you have any questions or need assistance, please feel free to contact Bitget’s customer service. Thank you for your continued support as we strive to bring you the best trading experiences possible.