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What are the liquidation margin requirements on Bitmex for different leverage options?

avataranarchoskumDec 26, 2021 · 3 years ago3 answers

Can you provide a detailed explanation of the liquidation margin requirements on Bitmex for different leverage options?

What are the liquidation margin requirements on Bitmex for different leverage options?

3 answers

  • avatarDec 26, 2021 · 3 years ago
    The liquidation margin requirements on Bitmex vary depending on the leverage options. For example, if you choose a leverage of 10x, the liquidation margin requirement will be higher compared to a leverage of 5x. It is important to carefully consider the leverage option you choose and ensure you have sufficient margin to avoid liquidation. Bitmex provides a leverage calculator on their website that can help you determine the liquidation margin requirement for different leverage options.
  • avatarDec 26, 2021 · 3 years ago
    Bitmex has different liquidation margin requirements for different leverage options. The higher the leverage, the higher the liquidation margin requirement. This is because higher leverage increases the risk of liquidation. It is important to understand the liquidation margin requirements before trading on Bitmex to avoid any unexpected liquidations.
  • avatarDec 26, 2021 · 3 years ago
    When it comes to liquidation margin requirements on Bitmex, it's important to note that the platform uses a sophisticated algorithm to calculate the liquidation price based on the leverage chosen and the position size. The higher the leverage, the closer the liquidation price will be to the entry price. It's crucial to maintain a sufficient margin to avoid liquidation, especially when trading with high leverage. Always double-check the liquidation margin requirements on Bitmex before opening a position to ensure you're well-prepared.