The 'Hidden Loss' Calculator: Real Break-Even Prices with Fees

Most new traders look at their screen, see a +0.15% green number, and think they made money.

In reality, they probably lost money.

Why? Because exchanges charge you to enter the casino AND to leave it. If you don’t account for the “Round Trip” cost, your strategy is bleeding death by a thousand cuts.

The Real Break-Even Formula

A trade is only profitable if the price move exceeds the total friction.

The Formula:

Break Even Price = Entry Price × (1 + Buy Fee % + Sell Fee %)

(Note: This is a simplified approximation for spot trading. For leverage, fees are calculated on position size, making it even deadlier.)

Case Study: The $100,000 Bitcoin Trade

Let’s say you buy 1 BTC at $100,000 using a standard market order (Taker).

• Standard Taker Fee: 0.10%

Step 1: The Buy

You pay $100,000 + 0.10% fee ($100).

• Total Cost: $100,100.

Step 2: The Sell

The price goes up to $100,150. You think, “Great! I made $150 profit.” You sell. You pay another 0.10% fee on the $100,150 ($100.15).

• Net Proceeds: $100,150 - $100.15 = $100,049.85.

The Result

• Money In: $100,100
• Money Out: $100,049.85
• PnL: -$50.15 (Loss)

You saw a green chart. You felt like a winner. Your account balance went down.

The “Scalper’s Trap” (High Frequency Death)

This effect compounds massively if you trade frequently.

Trades Per Day	Avg Profit Per Trade (Chart)	Fee Per Trade (Round Trip)	Net PnL (Real)
10	+0.15%	0.20%	-0.5% per day
50	+0.15%	0.20%	-2.5% per day

If you are a scalper aiming for small moves (0.1% - 0.3%), you cannot pay standard taker fees. You will mathematically go to zero.

How to Lower Your Break-Even Point

You have three levers to pull to fix this.

1. Switch to Maker Orders (Limit Orders)

Maker fees are usually 1/5th of Taker fees (e.g., 0.02% vs 0.10%).

• New Break-Even: 0.02% + 0.02% = 0.04%.
• Now that +0.15% scalp is profitable.

2. Use a “Rebate” Exchange

Some exchanges pay you to trade (Negative Maker Fees) or offer 0% Spot Fees.

• MEXC: 0% Maker / 0% Taker (Spot).
• Break-Even: 0.00%.
• Result: Every cent of price movement is pure profit.

3. Account for “Spread”

The “Spread” is the difference between the Buy price and Sell price.

• If Bitcoin is Buy $100,000 / Sell $100,010, you are instantly down 0.01% the moment you click buy.
• Always add spread to your fee calculation.

Summary: The Minimum Viable Move

Before you enter a trade, ask yourself: “Does my target exceed 0.25%?”

If the answer is no, and you are paying standard fees, do not take the trade.

Want to trade with a 0.00% Break-Even Point? MEXC currently offers 0% Spot Fees, making it the best venue for scalpers who need tight spreads and zero friction.