Whether you’re new to cryptocurrency or are a seasoned trader, knowing how your portfolio is performing at any given time is always top of mind.

That’s why having access to a real-time snapshot of Realized & Unrealized Gains is an effective performance tool when measuring your cryptocurrency portfolio’s current and potential value — letting you confidently adjust holdings to more accurately pursue your individual investment strategy.

Calculating Realized & Unrealized Gains

To better understand how Realized & Unrealized Gains are calculated we must consider how Profits and Losses are measured in the first place. This can be determined by taking the value of your portfolio and subtract from it the cost you initially invested. The difference between these numbers results in your gain, or in the the case of a negative value, your loss.

So when it comes to Realized & Unrealized Gain, the difference between the two is what you’ve already sold versus the possible gain at that exact moment.

Realized Gain/Loss

For example, if you buy 1 ETH for $1000 USD and sell it for $3000 USD your Realized Gain would be $2000 USD. $3000 USD (Sale price) – $1000 USD (Purchase price) = $2000 USD (Realized Gain)

Unrealized Gain/Loss

But when it comes to Unrealized Gain, the calculation is based on the value of your holdings that haven’t be sold yet. This looks this: Current market price – Purchase price = Unrealized Gain

For example:

If your purchase price for BTC was $3000 USD and the current value of BTC is actually $8000 but you haven’t sold it yet, your Unrealized Gain would be $5000 USD for 1 BTC.

8,000 USD (Current market price) – 3,000 USD (Purchase price) = 5,000 USD (Unrealized gain)

Using the Unrealized & Realized Gains Page

To better understand the performance of your portfolio and trades, CoinTracking offers a number of ways to stay informed on the Realized and Unrealized Gains Page.

Some of the information and tools you have access to include:

  • Check your Realized and Unrealized Gains for each coin and currency.
  • Check your Realized and Unrealized Gains for each transaction.
  • Check the cost basis and the cost for all transactions.
  • Use the Gains Calculator.
  • Search and sort your entries.
  • Export all entries as CSV, Excel or PDF.
  • Open additional transaction data by clicking on the ‘+’ icon.
  • Change the settings to view different aspects of your portfolio (more below).

Realized and Unrealized Gains Page Settings

Along with allowing you to perform the above actions, the Realized and Unrealized Gains Page lets you adjust the following settings to customize the data you may want to calculate for your portfolio.

  • Prices. Decide how your coins will be converted into your account currency: Counterpart, Transaction, or Best (recommended).
  • Method. Switch between calculation methods, such as First-In First-Out, Last-In First-Out, Highest-Cost First-Out, etc.
  • Cost basis. Adjust the method for the cost basis calculation. (CoinTracking recommends Average of unsold Assets as Cost Basis. Only use it if all your purchases and sales are entered correctly.)
  • Currency. Display all values in your account currency or BTC.
  • Currency filter. Select between digital currencies (BTH, ETH, etc.) commodities (Gold, Silver, etc.) or all currencies and commodities together. (CoinTracking recommends you use only digital currencies.)
  • Filter all entries by type, exchange, group and date. Filter your trades by any of these criteria.
  • Add deposits and withdrawals into the calculation. Include all deposits and withdrawals into a calculation if this button is enabled. If the button is disabled, you will see a calculation based on all gains and costs basis from trades only. (CoinTracking recommends you disable this setting.)
  • Group all purchases by day. Enable grouping purchases by day, which is helpful if time zones were not recorded correctly during import. Disabling allows you to calculate the trades by chosen method, rather than day. (We recommend this).

Whether you’re an active day trader or a casual investor, having more tools to measure your cryptocurrency portfolio like the Realized and Unrealized Gains page will will have you spending less time manually calculating Gains/Losses and instead letting you concentrate on continuing to make winning trades.