Futures Trading | How is maintenance margin calculated? Why do larger positions require more?
When increasing leverage, the adjustment will fail if your current position exceeds the maximum notional value allowed at that leverage.
Think of the margin ratio as a progress bar toward liquidation: the closer it gets to 100%, the greater the risk. To bring the ratio down, add margin or reduce your position.
The coin mentioned above: $BTC is quoted at 82786.74 (24h +1.07%).
Don't use borrowed money to trade with leverage—losses are often larger than expected.
When increasing leverage, the adjustment will fail if your current position exceeds the maximum notional value allowed at that leverage.
Think of the margin ratio as a progress bar toward liquidation: the closer it gets to 100%, the greater the risk. To bring the ratio down, add margin or reduce your position.
The coin mentioned above: $BTC is quoted at 82786.74 (24h +1.07%).
Don't use borrowed money to trade with leverage—losses are often larger than expected.