Bitcoin Margin Call Calculator

A margin call is a warning that your LTV has risen above a safer threshold (typically 65–75%). You add collateral or repay part of the loan before liquidation, which usually sits higher (70–85%). This calculator is free and does not require an account.

Formula

Margin Call Price = Loan Amount ÷ (BTC Collateral × Margin Call LTV)

Worked example

With a $40,000 loan, 1 BTC collateral, and a 65% margin call threshold, your margin call triggers at $40,000 / (1 × 0.65) = $61,538.

Source

Definitional — same LTV identity as liquidation, solved at the margin-call threshold instead of the liquidation threshold.

Frequently asked questions

What is a margin call on a Bitcoin loan?

A margin call is a warning from your lender that your loan-to-value (LTV) ratio has risen above a safe threshold (typically 65-75%). You must add more Bitcoin collateral or repay part of the loan to bring your LTV back down.

How do I calculate my Bitcoin margin call price?

Divide your loan amount by (your BTC collateral × margin call LTV). For example, with a $40,000 loan, 1 BTC collateral, and a 65% margin call threshold, your margin call triggers at $40,000 / (1 × 0.65) = $61,538.

What happens if I ignore a margin call?

If you don't respond to a margin call by adding collateral or repaying part of your loan, the lender will eventually liquidate (sell) your Bitcoin collateral to cover the loan. This typically happens at a higher LTV threshold (70-85%).

How much time do I have to respond to a margin call?

Response times vary by lender. Some give 24-72 hours, while others (especially DeFi protocols) may liquidate automatically with no grace period. Check your lender's specific terms.

How can I prevent margin calls on my Bitcoin loan?

Start with a low LTV (under 50%), set up Bitcoin price alerts well above your margin call price, keep extra BTC or cash ready to deposit as collateral, and consider partial loan repayments during price dips.