Worked example
A $5,000 position at 10× starts with $500 of initial margin before fees. A $200 unrealised loss leaves $300 of position equity. If you deliberately add $150, equity becomes $450 and more capital is exposed. Liquidation can occur before equity reaches zero because maintenance margin is still required.
Using Swolecharts
In the liquidation price calculator, compare the same entry and size at different leverage settings. This illustrates the margin buffer; use your exchange's position panel for the actual allocated collateral and trigger.
Common confusion
Isolated does not mean the original deposit can never change. Manual top-ups, fees, funding and enabled auto-margin replenishment affect exposure. The brief definition assumes no extra collateral is added.
Checked against exchange documentation on 13 October 2026: Bybit: margin modes. Examples are illustrative, not live market readings.