Crypto Impermanent Loss Calculator

Calculate impermanent loss for liquidity pool positions. Enter the price ratio change to see how much value you lose compared to simply holding both tokens.

Price Inputs

Price when you entered the LP
Price now or target price
Total USD deposited

Pool Settings

24h trading volume of pool
Total value locked in pool
Additional incentive rewards
%
Impermanent Loss
-2.02%
-$2,702.04 — loss vs simply holding
Price Ratio
1.5x
Token moved from $2000 to $3000
LP Value Now
$9,797.96
Current value of LP position (excluding rewards)
Hold Value Now
$12,500.00
What your tokens would be worth if you just held 50/50
Fee Income Earned
$1,095.00
$3.00/day from 0.3% fee tier
Farm Rewards
$800.00
8% APR over 365 days
Net P&L (IL + Rewards)
-$807.04
Impermanent loss exceeds earned rewards
Effective APR
-8.07%
Annualized net return including IL and rewards
Break-Even Days
521 days
Days of fee + farm income needed to offset IL

Impermanent Loss Severity

2.02% loss
0% (No change)60%+ (Extreme)

LP vs HODL Comparison

LP Strategy
$11,692.96
Position + Fees + Farm
HODL Strategy
$12,500.00
50/50 Buy & Hold

IL by Price Change

Price ChangeRatioIL %Hold ValueLP ValueDifferenceSeverity
-75%0.25x-20.00%$6,250.00$8,000.00$1,750.00
-50%0.50x-5.72%$7,500.00$9,428.09$1,928.09
-25%0.75x-1.03%$8,750.00$9,897.43$1,147.43
-10%0.90x-0.14%$9,500.00$9,986.14$486.14
0%1.00x0.00%$10,000.00$10,000.00$0.00
+10%1.10x-0.11%$10,500.00$9,988.66-$511.34
+25%1.25x-0.62%$11,250.00$9,938.08-$1,311.92
+50%1.50x-2.02%$12,500.00$9,797.96-$2,702.04
+100%2.00x-5.72%$15,000.00$9,428.09-$5,571.91
+200%3.00x-13.40%$20,000.00$8,660.25-$11,339.75
+300%4.00x-20.00%$25,000.00$8,000.00-$17,000.00
+500%6.00x-30.01%$35,000.00$6,998.54-$28,001.46

Note: Impermanent loss calculations assume a constant-product AMM (x * y = k) with 50/50 weighting. Concentrated liquidity positions (e.g., Uniswap v3) may have amplified IL.

Planning notes, formulas, and examples

About the Crypto Impermanent Loss Calculator

Impermanent loss is the silent tax of providing liquidity in automated market makers (AMMs). When you deposit two tokens into a liquidity pool and their relative prices change, you end up with less value than if you had simply held both tokens. The loss is called "impermanent" because it reverses if prices return to the original ratio — but in practice, that often doesn't happen.

This Impermanent Loss Calculator shows you exactly how much value you lose for any given price change. Enter the initial and current price ratio between the two tokens, and the tool computes the IL percentage, dollar amount, and comparison against holding.

Understanding impermanent loss is essential for anyone providing liquidity on Uniswap, SushiSwap, Curve, or any AMM. The fee income you earn must exceed your IL to make liquidity provision profitable.

Use the result to map token-release or fee scenarios and revisit the model when market conditions, unlock terms, or portfolio assumptions change.

When This Page Helps

Impermanent loss is the biggest hidden cost for liquidity providers. This calculator quantifies IL for any price movement, helping you assess whether LP fee income is enough to justify the position and when you should exit.

How to Use the Inputs

  1. Enter the initial price of the volatile token when you entered the pool.
  2. Enter the current price of the volatile token.
  3. Optionally enter your total position value for USD calculations.
  4. View the impermanent loss percentage and dollar amount.
  5. Compare your LP value against a simple hold strategy.
Formula used
IL = 2 × √(priceRatio) / (1 + priceRatio) − 1, where priceRatio = currentPrice / initialPrice. The result is always negative or zero.

Example Calculation

Result: -5.72% impermanent loss

When one token doubles in price (ratio = 2), IL = 2×√2/(1+2) − 1 = −5.72%. On a $10,000 position, you would have $572 less than if you simply held both tokens. The LP is worth $14,142 while holding would be worth $15,000.

Tips & Best Practices

  • IL increases non-linearly — a 2x price change gives 5.7% IL, but a 5x change gives 25.5% IL.
  • Stablecoin pairs (USDC/USDT) have minimal IL since prices rarely diverge.
  • Fee income can offset IL, but only if trading volume is sufficient.
  • Consider concentrated liquidity positions for better fee collection to offset IL.
  • Monitor your positions regularly — IL can grow quickly in volatile markets.
  • IL is symmetric: a 2x increase and a 50% decrease both produce the same 5.7% IL.

How AMM Rebalancing Creates IL

An AMM maintains a constant product (x × y = k). When external prices change, arbitrageurs trade against the pool to align it with market prices. This process moves your token balances away from what you deposited, always in the direction that minimizes your value relative to holding.

IL at Common Price Changes

At 1.25x: IL = 0.6%. At 1.5x: IL = 2.0%. At 2x: IL = 5.7%. At 3x: IL = 13.4%. At 5x: IL = 25.5%. At 10x: IL = 42.5%. The loss accelerates with larger price divergences.

Strategies to Minimize IL

Use stablecoin pairs for near-zero IL. Choose correlated asset pairs (like ETH/stETH). Provide liquidity in high-volume pools where fees offset IL. Use concentrated liquidity ranges to boost fee income. Set price alerts to exit before IL becomes too large.

Sources & Methodology

Last updated:

Frequently Asked Questions

  • IL occurs because AMMs rebalance your position as prices change. When one token rises, the AMM sells it for the other token to maintain the price curve. You end up holding more of the depreciating token and less of the appreciating one, compared to holding.

More in this topic

Crypto IL vs Fees Calculator

Compare impermanent loss against trading fee income for liquidity pool positions. See if your LP earnings outweigh the cost of price divergence.