What is the best PNL formula for calculating profits in cryptocurrency trading?

3 answers

• kmkmJul 03, 2024 · a year ago
  Sure! One commonly used PNL formula in cryptocurrency trading is: PNL = (Exit Price - Entry Price) * Quantity. This formula calculates the difference between the exit price and the entry price, and then multiplies it by the quantity of the cryptocurrency traded. This will give you the profit or loss in your trading position. Remember to take into account any transaction fees or commissions when calculating your PNL.
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• LennianJul 10, 2024 · a year ago
  Well, there isn't a single 'best' PNL formula for calculating profits in cryptocurrency trading. Different traders may use different formulas based on their trading strategies and preferences. However, a commonly used formula is: PNL = (Exit Price - Entry Price) * Quantity. This formula calculates the difference between the exit price and the entry price, and then multiplies it by the quantity of the cryptocurrency traded. It's a straightforward formula that gives you a basic understanding of your profits or losses.
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• Alone KhanJan 02, 2022 · 4 years ago
  When it comes to calculating profits in cryptocurrency trading, the best PNL formula depends on the specific platform or exchange you are using. For example, BYDFi, a popular cryptocurrency exchange, provides a comprehensive PNL formula that takes into account various factors such as fees, leverage, and funding rates. You can refer to their documentation or seek assistance from their customer support for the most accurate PNL calculation on their platform.
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