Daily Drawdown at Crypto Prop Firms: When the Limit Resets
Daily drawdown is the most a crypto prop account may lose in one trading day, and on a 24/7 market that day is defined by the firm’s reset time. Most crypto firms reset at or just after 00:00 UTC, while some use 20:00 UTC, 5 PM New York or midnight Central European time. The limit is a percentage of a reference figure taken at the reset, the reference is the balance at some firms and the equity at others.
No daily limit trails the day’s high at PropRubric’s last check, and ten different reset times exist across the crypto prop firms PropRubric tracks. A market with no close changes how an open position meets the reset, the widest daily limits are 5% and the narrowest 2%, and six habits keep an account clear of the line.
Every reset time and reference below is the firm’s own rule, the same fields by which the rules of every firm are compared in the table of crypto prop firm rules compared. The aim is that you pass the daily limit at the firm you choose rather than learn it from a breach.
Calculator
A 24-hour dial marks each firm’s reset time in UTC, and your own time zone can be set to read it in local time. The table below lists the same reset times for every firm.
| Firm | Daily DD | Reset (UTC) | Basis |
|---|---|---|---|
 HyroTrader | 3–5% | 00:00 UTC | Same in challenge-terms Schedule 1 Part A and checkout tier cards. Homepage… |
 Crypto Fund Trader | 4–5% | 00:05 UTC | 2-Phase 5%; 1-Phase and Instant 4%, from the balance at 00:05 UTC. |
 Breakout | 3% | 00:30 UTC | Spark has no daily loss limit. Legacy 2-step: 4%. |
 Bitfunded | 3–5% | not published | 60% profit share), 1-step 4%, 2-step 5%. The FAQ's 4% for Instant is treated… |
 Mubite | 3–5% | not published | 2-Step 5%, 1-Step 4% and Nitro 3%; the Instant daily limit is not stated. |
 Kraken Prop (Kraken Pro) | 3% | 00:30 UTC | Lite has no daily loss limit. |
 Klein Funding | 3% | 00:05 UTC | 3% on every plan shown. |
 WenCrypto | 3–5% | 00:00 UTC | Daily type: 'Equity / Balance'. |
 Fundedbit | 3–5% | 00:15 UTC | Not published |
 PropW | 4–5% | trading day counted in UTC+8 (16:00 UTC) | Not published |
 Cointracts | 4–5% | not published | Not published |
 TradeXProp | 3% | 21:00/22:00 (5 PM New York time) | Not a loss limit: if equity moves more than 3% of the starting balance from… |
 HyperPNL | 3–5% | 00:00 UTC | resets from equity at 00:00 UTC |
 Propr | 3–5% | 00:00 UTC | Not published |
 SizeProp | 2–3% | 20:00 UTC | balance-based at 20:00 UTC, enforced on equity |
 Upscale | 3–5% | 00:00 UTC | Turbo has no daily limit, only the dynamic max drawdown. |
 Velotrade | 3–5% | 00:30 UTC | Not published |
 Dolvero | 3–4% | 00:00 (UTC day) | Not published |
 E8 Markets | 2.5–3% | 00:00 server time (zone not stated in the help centre) | Fixed $ amount from the initial balance, reset at 00:00 server time. These are… |
 FTMO | 3–5% | 00:00 CE(S)T (22:00/23:00 UTC) | Recalculated at 00:00 CE(S)T from that day's balance; equity-based. |
 The5ers | 3–5% | not published | Not published |
 BrightFunded | 3–5% | not published | Higher of equity or balance at start of day. |
 AquaFunded (Crypto) | 3–5% | not published | Reset 00:00 UTC from the higher of balance or equity. |
 RebelsFunding | 4–5% | not published | Not published |
 Funded Trader Markets | 4% | 5 PM New York time | 4% of initial balance from the higher of balance/equity at 5 PM EST. |
 Goat Funded Trader | 3–5% | 5 PM New York time | 5 PM EST reset. |
 FundingPips | 2–5% | 21:00 (00:00 platform time, UTC+3) | Not published |
 Tradeify 247 | 3% | 22:00 UTC | Measured on live equity from the previous day's closing balance snapshot at… |
Values from each firm's own pages, checked by PropRubric
What is daily drawdown in a crypto prop challenge?
Daily drawdown is the parameter that ends more accounts in a day than any other rule, because it is the tightest. Marcel Hambálek, a senior trader at For Traders, describes prop firm rules in the firm’s guide to prop trading rules as “risk parameters written into a firm’s terms and conditions, applied to a simulated trading account, not regulations imposed by a financial authority”.
The daily drawdown parameter is separate from the maximum drawdown: a 4% daily limit sits inside a 6% or 10% overall limit, and the daily one resets while the overall one does not. How the daily figure is calculated from the reference is the first thing to read in a firm’s rules.
How is daily drawdown calculated?
Daily drawdown at a crypto prop firm is calculated from a reference figure taken at the reset, minus the firm’s percentage. Two choices decide the number: whether the reference is the balance or the equity, and whether the reference stays fixed for the day or trails the day’s high.
Formula
daily floor = reference at the reset × (1 − daily limit %) example: $10,250 balance at 00:30 UTC × (1 − 0.03) = $9,942.50, the floor for the next 24 hours at Breakout
Breakout’s help centre gives the worked case: “The maximum daily loss limit is 3% of your demo account balance at 00:30 UTC, recalculated every day at that time. Example: if your balance (excluding open positions) is $105,000 at 00:30 UTC, your daily loss floor for the next 24 hours is $101,850.”
The floor is recalculated rather than reset, so a good day raises tomorrow’s floor and a bad day lowers it. The two choices behind the reference are the two questions that follow, and your own floor under either choice follows from the same formula.
Is daily drawdown based on balance or equity?
The closed balance at Breakout, Crypto Fund Trader, SizeProp and Tradeify 247 and the equity, open positions included, at HyperPNL, FTMO, AquaFunded, BrightFunded and WenCrypto: the reference differs by firm, and the breach is checked on equity at almost all of them.
Balance-based reference. The floor is set from the balance at the reset, excluding open positions. Breakout uses the balance “excluding open positions” at 00:30 UTC; Crypto Fund Trader uses the account balance at 00:05 UTC on its 2-phase accounts; SizeProp sets the reference from the balance at 20:00 UTC and enforces the floor on equity. Tradeify 247 sets the reference from the closing balance at 22:00 UTC and measures the floor on live equity.
Equity-based reference. The floor is set from the equity at the reset, so an open position’s unrealized profit or loss moves the reference. HyperPNL resets “from equity at 00:00 UTC”; FTMO recalculates at 00:00 Central European time from the day’s balance and checks the limit on equity. AquaFunded and BrightFunded take the higher of balance or equity at the start of the day; WenCrypto states its daily type as “Equity / Balance”.
The example that separates the two is an open BTC long up $300 at the reset on a $10,000 account with a 4% limit. A balance-based firm sets the floor at $9,600, and an equity-based firm sets it at $9,888, so the same position gives the equity-based account $288 less room for the next day even though nothing was closed. Whichever reference a firm uses, the floor normally stays where the reset put it for 24 hours, and only a trailing daily limit would make it move during the day.
What is a trailing daily drawdown?
A trailing daily drawdown of 4% on a $10,000 account allows a $400 loss from the reset balance, and no crypto prop firm PropRubric tracks publishes the rule since HyroTrader dropped it. After a $300 gain during the day, the floor is $400 below $10,300, so a $600 slide from the high breaches an account that a fixed daily limit would have left with $100 of room.
That trailing difference is why two daily limits cannot be compared by the percentage alone, and why the reset time, the moment the reference is taken, matters as much as the number.
Breakout’s two equity limits, the daily floor and the maximum floor, are the clearest published example of the pair working on one account.
When does the daily drawdown reset at crypto prop firms?
Most crypto prop firms reset the daily drawdown at 00:00 to 00:30 UTC: 12 of the 28 firms PropRubric tracks do, 9 use other times, and 7 have not published one. The reset table at the top of the page lists every firm, and the ten distinct times it contains exist because a market with no close gave each firm a free choice.
Twelve of the 19 crypto-first firms PropRubric tracks chose a time within the first half hour of the UTC day. The time is 00:00 at HyroTrader, HyperPNL, Propr, Upscale, Dolvero and WenCrypto, 00:05 at Crypto Fund Trader and Klein Funding, 00:15 at Fundedbit, and 00:30 at Breakout, Kraken Prop and Velotrade. Hambálek’s guide states the reason the firms themselves give: “Every crypto-focused evaluation fixes a reset time, typically midnight UTC or the platform’s server time, because without a market close there’s no other honest anchor point.”
SizeProp’s 20:00 UTC, Tradeify 247’s 22:00 UTC and PropW’s 16:00 UTC (the end of a UTC+8 day) are the three outliers among the crypto-first firms, and all three put the reset in the New York afternoon or evening rather than the Asian morning.
The multi-asset firms carry their forex clock into crypto. That clock puts TradeXProp, Funded Trader Markets and Goat Funded Trader at 5 PM New York time, which is 21:00 UTC in summer and 22:00 UTC in winter. FTMO resets at 00:00 Central European time, which is 22:00 UTC in summer and 23:00 UTC in winter.
Both anchors move by an hour twice a year, on different dates, while the UTC anchors never move. A reset anchor that shifts with daylight saving is the kind of detail that ends an account in March or November, and the 24/7 market adds three more ways for the reset to catch a crypto trader.
How does a 24/7 market change the daily drawdown?
A 24/7 market changes the daily drawdown at a crypto prop firm by removing the pause a forex day has, and three effects follow: an open position is measured at the reset, the weekend counts, and funding payments on perpetuals move equity between trades.
| moment | what the firm’s rule does | example on a $10,000 account, 4% limit |
|---|---|---|
| 23:59 UTC, position open, up $300 | nothing yet; the day’s floor is $9,600 | room: $700 above the floor at $10,300 equity |
| 00:00 UTC reset, equity-based firm | the reference becomes $10,300; the new floor is $9,888 | the same open gain now sits $412 above a higher floor |
| 00:00 UTC reset, balance-based firm | the reference stays $10,000 (nothing was closed); the floor stays $9,600 | room: $700 |
| 03:00 UTC, BTC falls 4% on the position | equity drops $400 | equity-based: $9,900, $12 above its floor; balance-based: $9,900, $300 above its floor |
Firstly, a position held through the reset sets the new reference from equity at equity-based firms, so a gain you did not bank raises your own floor. Secondly, Saturday and Sunday are trading days: a weekend move counts against the daily limit at every crypto-first firm, and the reset happens on Sunday exactly as on a Tuesday, with the trader often away.
Finally, a perpetual position pays or receives a funding payment at fixed intervals, every eight hours on Bybit at 00:00, 08:00 and 16:00 UTC per its help centre and every hour on Hyperliquid per its docs, and a debit lowers equity without a price move.
Kraken Prop states its own funding version, a margin funding charge of 0.033% a day taken every four hours on open positions, and Velotrade charges 0.05% daily funding on crypto positions open at its 00:30 UTC reset.
Which firms give the most room inside those mechanics is a matter of the percentage, the reference and the reset together.
Which crypto prop firms allow the most daily drawdown?
Crypto prop firms allow between 2% and 5% of daily drawdown, 5% is the most common limit on 2-step models and 3% on 1-step models, and three plans have no daily limit at all.
| Firm | Daily DD | Basis | Reset (UTC) |
|---|---|---|---|
| Breakout | 3% | Spark has no daily loss limit. Legacy 2-step: 4%. | 00:30 UTC |
| Kraken Prop (Kraken Pro) | 3% | Lite has no daily loss limit. | 00:30 UTC |
| Klein Funding | 3% | 3% on every plan shown. | 00:05 UTC |
| TradeXProp | 3% | Not a loss limit: if equity moves more than 3% of the starting balance from the previous day's equity either way, positions are closed and the account locked until the next day. It also caps daily profit. It resets at 5 PM EST. | 21:00/22:00 (5 PM New York time) |
| Tradeify 247 | 3% | Measured on live equity from the previous day's closing balance snapshot at 22:00 UTC; hard breach (a paid Daily Soft Breach add-on softens it during evaluations only). | 22:00 UTC |
| Funded Trader Markets | 4% | 4% of initial balance from the higher of balance/equity at 5 PM EST. | 5 PM New York time |
| HyroTrader | 3–5% | Same in challenge-terms Schedule 1 Part A and checkout tier cards. Homepage summary: "Daily Loss Limit 3% to 5%, by challenge". Quote: Daily drawdown limits Zero-Step: 3% of your initial balance One-Step: 4% of your initial balance Two-Step: 5% of your initial balance The same limit applies in every phase, including the funded account. | 00:00 UTC |
| Crypto Fund Trader | 4–5% | 2-Phase 5%; 1-Phase and Instant 4%, from the balance at 00:05 UTC. | 00:05 UTC |
| Bitfunded | 3–5% | 60% profit share), 1-step 4%, 2-step 5%. The FAQ's 4% for Instant is treated as stale. '1-step Express' is absent from the homepage tabs (2 Steps / 1 Step / Instant / Day Trader). | not published |
| Mubite | 3–5% | 2-Step 5%, 1-Step 4% and Nitro 3%; the Instant daily limit is not stated. | not published |
| WenCrypto | 3–5% | Daily type: 'Equity / Balance'. | 00:00 UTC |
| Fundedbit | 3–5% | Not published | 00:15 UTC |
| PropW | 4–5% | Not published | trading day counted in UTC+8 (16:00 UTC) |
| Cointracts | 4–5% | Not published | not published |
| HyperPNL | 3–5% | resets from equity at 00:00 UTC | 00:00 UTC |
| Propr | 3–5% | Not published | 00:00 UTC |
| SizeProp | 2–3% | balance-based at 20:00 UTC, enforced on equity | 20:00 UTC |
| Upscale | 3–5% | Turbo has no daily limit, only the dynamic max drawdown. | 00:00 UTC |
| Velotrade | 3–5% | Not published | 00:30 UTC |
| Dolvero | 3–4% | Not published | 00:00 (UTC day) |
| E8 Markets | 2.5–3% | Fixed $ amount from the initial balance, reset at 00:00 server time. These are the Forex defaults. | 00:00 server time (zone not stated in the help centre) |
| FTMO | 3–5% | Recalculated at 00:00 CE(S)T from that day's balance; equity-based. | 00:00 CE(S)T (22:00/23:00 UTC) |
| The5ers | 3–5% | Not published | not published |
| BrightFunded | 3–5% | Higher of equity or balance at start of day. | not published |
| AquaFunded (Crypto) | 3–5% | Reset 00:00 UTC from the higher of balance or equity. | not published |
| RebelsFunding | 4–5% | Not published | not published |
| Goat Funded Trader | 3–5% | 5 PM EST reset. | 5 PM New York time |
| FundingPips | 2–5% | Not published | 21:00 (00:00 platform time, UTC+3) |
Twelve firms allow 5% on at least one model, and eleven allow 3% on their 1-step or turbo models. The three plans with no daily limit (Breakout Spark, Kraken Prop Lite, Upscale Turbo) replace it with a trailing maximum drawdown, so “no daily limit” is not more room. The daily percentage is one column of the rules table across every firm PropRubric tracks, and the six habits below are how traders stay above the floor whatever the column says.
How do you avoid hitting the daily drawdown?
You avoid hitting the daily drawdown with six habits, and each one follows from a rule on this page.
- Set an alert at your firm’s reset time in your own time zone. Convert 00:30 UTC or 5 PM New York once, and re-check it in March and November if your firm uses a daylight-saving clock.
- Size positions from equity, not from the balance. A position sized from the balance ignores the open profit or loss that an equity-based firm has already counted into your floor.
- Leave room for funding payments. A perpetual held through a funding interval can lose part of the daily allowance without a price move, so keep the allowance above the next debit.
- Close or reduce before the reset if your firm is equity-based. Banking a gain before 00:00 UTC keeps a good day from raising your own floor, and closing a losing position keeps a bad day from lowering tomorrow’s reference.
- Stop trading after a set share of the limit. Stopping at half of a 4% limit leaves the other half for a wick or a funding debit, and a breach on the daily limit ends the account at every firm that publishes one.
- Treat the weekend as two trading days. A Sunday move counts, the reset happens on Sunday, and the position size that was safe on Wednesday is the size to hold on Saturday, sized from the daily room on the position size calculator for crypto challenges, and the firms’ own weekend rules are compared on the page about whether you can hold crypto positions over the weekend at a prop firm.
The daily limit resets; the maximum limit doesn’t.
What is the difference between daily and maximum drawdown?
The difference between daily and maximum drawdown at a crypto prop firm is the window: a daily drawdown limits the loss between two resets, and a maximum drawdown limits the total loss for the life of the account.
| rule | window | reference | resets? | typical crypto value |
|---|---|---|---|---|
| daily drawdown | one trading day, reset to reset | balance or equity at the reset | yes, every day | 3% to 5% |
| maximum drawdown | the whole account | the starting balance (static) or the highest balance or equity (trailing) | no; a trailing floor only rises | 3% to 10% |
A crypto prop account can breach the daily limit on a day the maximum limit would have survived. The maximum limit’s type, trailing vs static, decides how much of a good week you keep, and that choice between a trailing and a static floor is the question most traders ask next.