What is PnL in Crypto Trading?

PnL stands for Profit and Loss. In crypto trading, it shows whether your open or closed trades are currently making money or losing money.

A positive PnL means the trade or account is in profit. A negative PnL means it is in a loss. PnL can be realized, meaning the trade is already closed, or unrealized, meaning the trade is still open and the result can still change.

For example, if you open a BTC trade and close it with a $100 profit after fees, that is realized PnL. If the same trade is still open and showing +$100, that is unrealized PnL.

At Mubite, PnL helps measure trading performance, but it is not the only thing that matters. Traders also need to follow risk rules, drawdown limits, and position size rules.