Crypto Average Price Calculator
Use our crypto average price calculator to calculate the average price for your crypto investments made over time.
How to use the crypto average cost calculator:
- Add the amount of crypto bought. (e.g. 50, 120, or 2000)
- Add the crypto price for each purchase. (e.g. $0.03, $2.50, or $27500)
- Click the “Add More” button to add more crypto buys.
Crypto Average Price Calculator
Average Buy Price: $0.00
What is a crypto average price calculator?
A crypto average price calculator is a tool that helps investors and traders figure out the average purchase price for several crypto investments over time.
For example, if you have been buying Bitcoin during the past couple of months at different prices and in different quantities, it might be difficult to keep track of your true average price.
In this case, the calculator helps investors accurately measure the average price for their investments which in turn helps them track the break-even price and gives them a clearer view of their investments.
By using historical data points added by the investor, the calculator provides an accurate buy price!
Given the high volatility in the crypto markets, the purpose of the average cost crypto calculator is to help investors track their investments.
By figuring out your average crypto price it’s easier to make the decision on whether to keep adding to your portfolio or to wait out the price fluctuations.
Our calculator is designed for every user and can be used from any device from laptops, desktops, mobile phones, and tables.
How does the crypto average cost calculator work?
Just like our average down stock calculator calculates the average price for stock investments, this calculator calculates the average price for cryptocurrency investments.
A user starts by adding the inputs into the calculator, such as:
- The amount of crypto bought.
- The price at which the crypto was bought.
If a user has made several crypto investments at different prices, he can add each purchase by using the “Add More” button. This will ensure that each crypto purchase is included in the calculation.
When all the investments have been added, the calculator makes the calculation automatically by first processing the information and then giving the result. It sums up the full amount of crypto bought and takes into consideration at which price each investment has been made.
When the result is displayed, the investor can see the average price along with some added information such as the total amount of cryptos bought and the total amount invested in dollars.
How to calculate the crypto average price
Here is a step-by-step guide on how it is done:
Make a list of all the cryptocurrencies you have bought and at what price each specific crypto has been bought at.
For each purchase, calculate the total cost and the total amount:
- Multiply the amount of crypto bought by the price at which you bought it to find the total cost for that purchase.
- Sum up the total cost of all purchases to find the overall total cost.
- Sum up the total amount of crypto bought across all purchases to find the overall total amount.
Calculate the average price by dividing the total cost by the total amount of crypto, like this:
- Average Price = Total Cost / Total Amount of Crypto
Crypto average cost calculation formula
To calculate the crypto average cost, you can use this simple formula:
Average Cost = Total Cost of Crypto / Total Amount of Crypto
Here’s a step-by-step breakdown of the formula:
- Calculate the total cost of crypto:
- This is obtained by adding the cost of all individual purchases.
- For instance, total cost of crypto = (cost of purchase 1 + cost of purchase 2 + cost of purchase 3)
- Calculate the total amount of crypto:
- This is obtained by adding all the units of cryptocurrency purchased.
- For instance, total amount of crypto = (amount from purchase 1 + amount from purchase 2 + amount from purchase 3)
- Finally, divide the total cost of crypto by the total amount of crypto to find the average cost.
Example of crypto average cost calculation
The example below uses the same formula used in our average price calculator for crypto.
- Let’s say you bought 2 BTC at $40,000 each and then bought 1 BTC at $50,000. To find the average cost:
- Calculate Total Cost of Crypto: 2 * $40,000 + 1 * $50,000 = $130,000
- Calculate Total Amount of Crypto: 2 BTC + 1 BTC = 3 BTC
- Calculate Average Cost: $130,000 / 3 BTC = $43,333.33 per BTC
This manual calculation is time-consuming and might make mistakes while doing the calculation yourself.
We highly recommend using our calculator to get an accurate and instant result.
Why use the average crypto price calculator?
Using the average crypto cost calculator is important for any investor that wants to keep track of the average price, also called, the break-even price.
The calculator helps you control your risk when investing in cryptocurrencies long-term by letting you know how much crypto you have bought, how much you have spent, and what your average price is.
This is useful for those who want that extra piece of information about your investments before buying more or perhaps selling at a profit.
Especially for those who are trading on a high leverage crypto trading platform, knowing your average price can save you from liquidation.
Pros and cons of the crypto average calculator
There are several benefits to using the calculator and some drawbacks that you should know about.
- Time-saving: It takes less time to use our calculator than to make the calculation manually.
- Risk management: Your risk management will improve by knowing at which price you are breaking even on your investments.
- Multiple transaction handling: It’s easy to keep track of several transactions with the calculator. Doing this manually takes time and is more difficult.
- Easy to use: Our crypto average cost calculator is very easy to use for both beginners and advanced traders.
- Data accuracy: The calculator relies on accurate data. If the user misses a digit it will not give an accurate result.
- Doesn’t predict future prices: The result doesn’t show future price predictions in any way, it is only a representation of historical purchases.
- Volatility sensitive: If the market experiences high volatility, your average price might change quickly which calls for more frequent calculations.