Impermanent Loss Calculator
Calculate impermanent loss for any liquidity pool pair. See exactly how price divergence hurts your LP position compared to simply holding (HODL).
Enter the USD price of each token at entry and exit. For stablecoins (USDC, USDT), use $1.
Initial Prices
New Prices
ETH/USDC Pool — Impermanent Loss Results
Impermanent Loss
-5.72%
loss vs HODL
LP Position Value
$14,142.14
if you exit now
HODL Value
$15,000.00
if you had held
Loss in USD
$857.86
vs holding tokens
You need at least $857.86 in trading fees earned from the pool to break even against impermanent loss (5.72% of your position).
Price Changes
ETH
+100.00%
USDC
+0.00%
Common IL Scenarios (Token A vs Stable)
| Price Change | IL % | Loss on $10,000 |
|---|---|---|
| 1.25× / 1× | -0.62% | $61.92 |
| 1.5× / 1× | -2.02% | $202.04 |
| 2× / 1× | -5.72% | $571.91 |
| 4× / 1× | -20.00% | $2,000.00 |
| 5× / 1× | -25.46% | $2,546.44 |
| 0.5× / 1× | -5.72% | $571.91 |
| 0.25× / 1× | -20.00% | $2,000.00 |
What is Impermanent Loss?
Impermanent loss (IL) is the difference in value between holding tokens in a liquidity pool versus simply holding them in your wallet. It occurs when the price ratio of the two tokens changes after you deposit them. AMMs like Uniswap, SushiSwap, and PancakeSwap rebalance your token ratio automatically as prices move — this is what causes IL.
The "impermanent" name comes from the fact that the loss is only realized when you withdraw. If prices return to their original ratio, IL disappears. However, if you withdraw at an unfavorable price ratio, the loss becomes permanent.
FAQ
Is impermanent loss always a loss?
Not necessarily. Trading fees earned from the pool can offset IL. High-volume pools (Uniswap ETH/USDC) often generate enough fees to outweigh IL. The key question: will fees earned exceed IL?
How do I avoid impermanent loss?
Use stable-stable pools (USDC/USDT) where IL is minimal. Or use concentrated liquidity (Uniswap v3) to set a price range where IL is less severe. Also, Curve Finance is designed to minimize IL for pegged assets.
Why is 2x price change more than 2% IL?
The IL formula is non-linear: 2× price change = 5.7% IL, 4× = 20% IL, 9× = 50% IL. Large price divergences hurt much more than proportionally.
This calculator assumes a 50/50 constant-product AMM (Uniswap v2 model). Concentrated liquidity (Uniswap v3) and stableswap pools have different IL profiles. Not financial advice.