Lets say I buy $50 of a bitcoin for 3916.74, And then the price goes up to $4200. How Do I calculate how much I have made in profit? As in What type of formula do I use to see how much more my $50 is worth now that the price is higher than when I bought it?

  • 4
    I'm voting to close this question as off-topic because it's a basic math question. Apr 26, 2019 at 0:04

2 Answers 2


The simplest way to calculate would be:

averagecost = ((BTC[t0] x USD[t0]) + (BTC[t1] x USD[t1]) + (so on))/total_BTC

where t0,t1 and so on are different time when you bought.

The above gives you the average cost for all your BTC

Now to know the profit, use the below formula:

profitloss = (current_BTC_price - averagecost) x total_BTC

If profitloss is negative, then you have a loss.

If profitloss is positive, then you have a profit.

  1. First of all, let a number of bitcoins be bought and (x1) is how much you paid for it.
  2. Now the price of 1 bitcoin changes
  3. Then you use the formula:

    x2= (New value of 1 bitcoin)*(Number of bitcoins you have)

Now you just find the difference between x1 and x2. This will give you your profit/loss.

All you have to remember is the initial value. In your case it is 50.



your bitcoins, in this case, = 50/3916.74 ~ 0.0128

x2= 4200*0.0128 = 53.76

so your profit x2-x1= 3.76 is your profit

  • Be a lot nicer of someone could break this down simpler than the two answers shown, For example.. let’s say you buy $50 at $7500, and the price goes to $9000. What’s the profit margin? Should be $1500 right? That seems pretty simple.
    – El Sols
    Dec 9, 2019 at 6:38
  • But instead, it’s like $63 or something. Would love a formula that isn’t as ridiculous as the ones posted above.
    – El Sols
    Dec 9, 2019 at 6:45
  • @ElSols: No, $53.76 is correct. The profit margin is not the increase in the exchange rate, but the increase in the value of your own holdings.
    – Murch
    Dec 9, 2019 at 18:18

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