Guides · 3 min

Spread and slippage: the trading costs fee tables miss

See how bid-ask spread, market impact and execution slippage add to fees and funding when you open and close a crypto position.

Published 2026-09-03

No named author. Every figure on this page is computed from the exchanges' own public APIs using the formula we publish, and each fee links to the venue's own schedule. How to check these numbers →

A fee schedule tells you what the exchange charges for an execution. It does not tell you the price at which the execution will happen. Bid-ask spread and slippage can exceed the published fee, especially in a thin market, during volatility or when the order is large relative to available depth.

The bid-ask spread

The best bid is the highest resting buy price; the best ask is the lowest resting sell price. Their difference is the quoted spread. A trader who buys immediately at the ask and sells immediately at the bid crosses that spread even if the midpoint does not move.

spread = best ask − best bid
spread % ≈ spread ÷ midpoint

If BTC has a $60,000 bid and a $60,006 ask, the quoted spread is $6, or roughly 0.0100% of the midpoint. An immediate buy and sell loses roughly the full $6 per BTC before trading fees.

Slippage and market impact

Slippage is the difference between the reference price used for a decision and the average executed price. A market order can consume several price levels, making its average fill worse than the best quote visible at submission. The order itself creates market impact; latency and other traders changing orders can add further slippage.

Slippage is directional. A market buy typically fills above the reference price and a market sell below it. That means both entry and exit can work against the trader. Historical averages can help with planning, but a fixed slippage assumption is not reliable during a fast market.

Estimate an all-in round trip

round-trip cost ≈ entry fee + exit fee
                + entry slippage + exit slippage
                + funding paid − funding received

For a quick scenario, express every component as a percentage of notional and add it once for each relevant leg. A 0.05% taker fee on entry and exit is already 0.10%. If spread and slippage total another 0.08%, the execution round trip costs about 0.18% before funding. On $50,000 of notional, that is $90.

How to reduce execution cost

Compare visible depth at the size you intend to trade, not only the top-of-book spread.
Break large orders into smaller pieces when urgency permits, while accounting for price risk between fills.
Use limit or post-only orders when missing the trade is acceptable.
Avoid assuming that the venue with the lowest fee also has the best executable price.
Record expected and actual average prices so future assumptions reflect your own order sizes.

Use the fee tables for the published part of cost, then combine fees, funding and your own spread/slippage assumption in the all-in cost calculator.