01

Long and short positions

A long position benefits from a price increase and a short position benefits from a decline. When price moves against the position, losses grow faster relative to margin as leverage increases.

02

Isolated versus cross margin

Isolated margin attempts to confine margin to one position, while cross margin can use a broader available balance to maintain positions. Understand how each mode changes the scope of potential loss before choosing it.

03

Plan the stop before liquidation

Liquidation should not be your planned exit. Define the price that proves the trade idea wrong, then size the position so a stop at that price creates an acceptable loss.

Crypto assets and derivatives can cause substantial losses. This site is educational and does not provide investment advice.
OFFICIAL SOURCES

Official sources & editorial standards

Changing fees, product rules and account requirements are checked against official Bybit help and announcements. Live account values take priority.