Bybit provides traders with a flexible option known as Trailing Stop, which functions as an enhanced feature for buy and sell Spot orders or serves as an exit strategy for Perpetual or Futures positions. It operates as a stop order that tracks the market price of an asset or position and automatically adjusts the stop order to minimize loss or lock-in profits as the price moves in the trader's favor. Once the Trailing Stop is determined, if the market price reaches a certain level and then retraces back by a predetermined amount set by the user, a market order will be triggered.

 

Notes: 

— The Trailing Stop feature is now available for Spot & Spot Margin Trading (only applicable to Unified Trading Account users) and all Perpetual and Futures trading.

— For Bybit App users, please note that the Trailing Stop feature for Spot trading is only available in App version 4.37.0 and above. You cannot view or cancel your Trailing Stop order in Spot trading with an unsupported App version.

— For Trailing Stop Order on Perpetual and Futures Trading, please refer to here. 

 

 

 

How Does It Work?

The Trailing Stop order functions similarly for Spot, Margin, Perpetual, and Futures trading. The primary distinction lies in its application: while the Trailing Stop order can be utilized for both Buy and Sell orders in Spot trading, it is solely available as a closing strategy for opened positions in Perpetual and Futures trading. 

 

 

You can set your Trailing Stop order in two (2) ways:

• By Distance: Price retracement in terms of price distance from the best price recorded since activation.

• By Rate (or Percentage): Price retracement in terms of percentage from the best price recorded since activation.

 

 

 

Examples （Spot and Spot Margin Trading）

Example 1: Place a trailing buy order by retracement distance

Suppose Trader A places a trailing buy order of BTC/USDT with a retracement distance of 1,000 USDT. Assuming the last traded price (LTP) is 50,000 USDT.

 

The Trailing Stop function works as follows in the following scenarios:

1. If the LTP doesn’t fall below 50,000 USDT, the Trailing Stop will be triggered at 51,000 USDT and a market buy order will be placed.

2. If the LTP falls to 48,000 USDT, the Trailing Stop price will automatically adjust downwards, and the Trailing Stop order will be triggered at 49,000 USDT (48,000 + 1,000). 

3. If the LTP rises back to 48,500 USDT, the Trailing Stop order will remain at 49,000 USDT.

4. A Trailing Stop order will only trigger in the event of a retracement of 1,000 USDT from the lowest price (48,000 USDT) reached.

5. If you have set an activation price, the trailing stop order will be activated only after the activation price is reached. If no activation price is set, the Trailing Stop order will be activated immediately based on the current LTP after order placement.

 

 

 

Example 2: Place a trailing sell order by retracement percentage

Suppose Trader B places a trailing sell order of ETH/USDT with a retracement percentage of 10%. Assuming the last traded price (LTP) is 4,000 USDT.

 

The Trailing Stop function works as follows in the following scenarios:

1. If the LTP never exceeds 4,000 USDT, the Trailing Stop will be triggered at 3,600 USDT and a market sell order will be placed.

2. If the LTP rises to 4,100 USDT, the Trailing Stop price will automatically adjust upwards, triggering at 3,690 USDT [4,100 x (1-10%)]. 

3. If the last traded price falls to 3,700 USDT, the Trailing Stop will remain at 3,690 USDT.

4. A Trailing Stop order will only trigger in the event of a retracement of 10% from the highest price (4,100 USDT) reached. 

5. If you have set an activation price, the Trailing Stop order will be activated only after the activation price is reached. If no activation price is set, the Trailing Stop order will be activated immediately based on the current LTP after order placement.

 

 

Therefore, with the above examples, we can derive that the trigger price of a Trailing Stop order for Spot trading is as follows:

Buy Order: Lowest price + Retracement Distance or Lowest price x (1 + Retracement Percentage)

Sell Order: Highest price - Retracement Distance or Highest price x (1 - Retracement Percentage)

 

 

 

How to Place a Trailing Stop Order on Spot Trading

 

Here’s a step-by-step guide on how to place a trailing stop order on Spot Trading.

 

Step 1: Go to the Spot Trading page and select Trailing Stop order.

 

 

 

Step 2: Set your retracement by percentage or distance.

 

 

Step 3: Input your order value or quantity.

 

 

Step 4: Set your activation price (Optional). If you do not wish to set an activation price, you can uncheck the activation price box. 

 

Click on Buy or Sell and you have successfully placed your Trailing Stop order! 

 

 

 

To view your current Trailing Orders, go to the Current Orders page and you can modify or cancel the orders.