Understanding your cryptocurrency portfolio's performance is essential for making informed investment decisions. CoinMarketCap's Portfolio Tracker provides a comprehensive system to calculate your profits with precision, accounting for both realized and unrealized gains.
Key Components of Profit Calculation
Our methodology focuses on:
- Realized Profit: Gains from sold cryptocurrencies (actualized profits).
- Unrealized Profit: Potential gains from current holdings (subject to market fluctuations).
- All-Time Profit: The sum of realized and unrealized profits, reflecting overall portfolio performance.
Detailed Calculation Process
1. Average Buy Price
- Calculated per cryptocurrency.
- Formula: Total spent (excluding fees) / Total amount purchased.
- Helps determine profit/loss per asset.
2. Cost Basis
- Total investment including fees.
- Formula: Sum(Buy Price × Buy Amount) + Sum(Buying Fees).
3. Average Buy Cost
- Incorporates fees for a realistic cost per unit.
- Formula: Total Cost (with fees) / Total Purchased Amount.
4. Realized Profit
- Calculated upon selling crypto:
Formula: (Sale Price × Amount Sold) − (Cost Basis / Total Buy Amount × Amount Sold) − Selling Fees.
5. Unrealized Profit
- For held assets:
Formula: (Current Market Price × Held Amount) − (Cost Basis / Total Buy Amount × Held Amount).
6. Profit and Loss Percentage (P&L%)
- Measures ROI: All-Time Profit / Cost Basis.
Practical Example
Scenario:
- Buy 1 BTC at $10,000 (fee: $50).
- Buy 0.5 BTC at $6,000 (fee: $30).
- Sell 0.75 BTC at $12,000 (fee: $60).
- Current BTC price: $18,000.
Calculations:
- Cost Basis: $10,000 + $6,000 + $50 + $30 = $16,080.
- Realized Profit: $12,000 − (0.75 × $10,720) − $60 = **$3,900**.
- Unrealized Profit: (0.75 × $18,000) − (0.75 × $10,720) = $5,460.
- All-Time Profit: $3,900 + $5,460 = $9,360.
- P&L%: $9,360 / $16,080 ≈ 58.21%.
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FAQs
Q: Why does my profit fluctuate without trading?
A: Unrealized profit changes with market prices—even if you don’t buy/sell.
Q: Are fees included in profit calculations?
A: Yes. Buying fees increase your cost basis, while selling fees reduce realized profit.
Q: Can I analyze performance over specific periods?
A: Yes! Filter by 24h, 7d, 30d, or custom ranges.
Best Practices for Portfolio Tracking
- Update regularly: Ensure accuracy by logging all transactions.
- Use tags: Categorize investments (e.g., "Long-term Holds") for better insights.
- Focus on percentages: P&L% reveals efficiency, not just raw profit.
- Avoid over-monitoring: Crypto is volatile—track trends, not hourly changes.
👉 Optimize your crypto strategy with real-time data.
Note: While our calculations are robust, crypto markets are dynamic. Use this tool alongside research and professional advice for major decisions.
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