Crypto Pip calculator is a tool that calculates the pip value for a cryptocurrency which you can select with a drop down menu. The pip value for a crypto will be defined by the unit size which you need to enter into the Units field.
The unit size is defined by the broker you are using so check the broker specification sheet for certain crypto like Bitcoin.
Crypto Pip Calculator
You can see in the image that you need to specify the Pips number and desired Cryptocurrency. I have used Bitcoin to calculate the Bitcoin pip value.
Then, you have Units where you need to specify how many units 1 standard lot has. In this case I have put 1 unit because I am using a Forex broker that has defined in MT4 trading platform how much is 1 standard lot.
When you move your mouse over the Unit field you can see that notification that tells you to check your broker details about crypto units.
Check MT4 Bitcoin Unit Specification
For example let’s check how much is Bitcoin contract size defined in MT4 by the Forex broker I am using. I am using an IC Markets broker where they define details for certain currency pairs or symbols.
Here you can see how to get details about the contract size for certain symbols in MT4.
Go to Market Watch and find Bitcoin. It is under the BTC/USD symbol name.
Then click the right mouse button on the BTC/USD and the menu will appear.
From the menu select Specification which will open a new window.
Inside this window you can see details for the Bitcoin/USD currency pair.
You can see that the Contract size is 1 unit. And that means 1 standard lot is equal to 1 unit.
In Forex pairs like EUR/USD 1 standard lot is equal to 100,000 units of base currency.
So, you can see how different the Bitcoin contract size is compared to EUR/USD currency pair. Pay attention that the contract size for Bitcoin can vary from broker to broker. So you could encounter that the Bitcoin contract size is equal to 100 units.
Now you know how much the contract size for Bitcoin on the MT4 platform is.
Now you can move forward and make calculations for the BTC/USD symbol.
How to Calculate Pips in Crypto
In the crypto pip calculator put the number of pips you want to calculate. If you put 1 pip then you will calculate the value of a 1 pip.
Select which crypto you want to calculate. I will leave BTC/USD in this example.
Units stay 1 because that is the contract size for 1 standard lot.
Deposit currency is the currency your account is in. In this case I will leave USD because I have an open trading account with U.S. dollars.
Inside the MT4 platform you can see deposit currency like on the image below.
When you click calculate you will get the value of a 1 pip. In this case the value of a BTC/USD 1 pip is 0.01$.
If you put any other number of pips you will get different values.
So, for example if you put 2812 into the field where the pips are you will get different results. Here is an example with an order open in MT4 where the current profit/loss is 2812 pips.
On the image you can see that the current open order on BTCUSD has 2812 loss. And 2812 is the number of pips.
The pip number is calculated as a difference between open price and close price.
Number of pips = (Open price – Close Price) x 100
Number of pips = (30712.13 – 30740.25) x 100
Number of pips = 28.12 x 100 = 2812 pips
Now, you can see that we have 2812 of pips and when you put that into the Bitcoin pip calculator you get $28.12 of profit/loss.
Crypto Pip Value Calculation
Here is the formula you can use if you want to manually calculate the pip value.
Here is an example how this would look with IC markets:
- Number of pips: 1
- Instrument: BTCUSD
- Lot size: 1.00 (1 unit)
- Deposit currency: USD
- BTCUSD pip size: 0.01
To calculate pips for BTC/USD you need to use following formula which defines the pip value:
For deposit currency which is equal to base currency, Bitcoin:
Pip value = (Pip / Current market price) x Lot size
For deposit currency which is equal to quote currency, USD:
Pip value = Pip x lot size
So, if we put the numbers from the example then we would have USD as a deposit currency and we would use second formula:
Pip value = Pip x lot size
Pip value = 0.01 x 1
Pip value = $0.01
So, one pip is equal to $0.01.
Crypto Pip Profit Calculation
And with our case where we have 2812 pips as a price difference we would get pip profit/loss:
Pips = |Entry price – Exit price| x 100
Pips = |30712.13 – 30740.25| x 100
Pips = 28.12 x 100 = 2812
Now, the profit for 2812 pips is:
Profit = Pip value x Pips
Profit = $0.01 x 2812
Profit = $28.12
If you are beginner in Forex trading you will need this calculator because the calculation manually is not so easy.
Even the Forex basics is not so easy to understand, but in time you learn everything.
Use this calculator and other calculators to see how much you will make per pip so you can set stop loss and take profit properly.