I was asked: If the price returns to the average entry price, why am I still not back to break-even?
I usually answer this way: When adding to a position in batches, the average entry price is calculated as the weighted average of each fill price based on the quantity filled. The break-even price is the price at which you actually break even after taking fees and funding fees into account: for a long position, it’s usually slightly above the average entry price; for a short position, it’s usually slightly below it.
$BTC 76068.01（-0.14%）
If you learned something, leave a comment. If anything is unclear, leave a comment and ask away.
#BTC
I usually answer this way: When adding to a position in batches, the average entry price is calculated as the weighted average of each fill price based on the quantity filled. The break-even price is the price at which you actually break even after taking fees and funding fees into account: for a long position, it’s usually slightly above the average entry price; for a short position, it’s usually slightly below it.
$BTC 76068.01（-0.14%）
If you learned something, leave a comment. If anything is unclear, leave a comment and ask away.
#BTC