Since it's ATH on October 6 of over $125,000, Bitcoin has dropped a level of $85,000 currently. If you're using your Bitcoin as collateral for a loan, that kind of move can feel unsettling.

When Bitcoin's price swings 15-20% in a matter of weeks, your loan-to-value (LTV) ratio shifts with it. What felt like a comfortable position at $125,000 can suddenly feel tight at $85,000.

That's when questions start creeping in: Am I close to liquidation? Should I add more collateral? What happens if it drops further?

The good news? With the right tools and approach, you can navigate volatility safely. You don't need to stress over every price tick.

Here's how Firefish is designed to keep you informed, protected, and in control when markets get choppy.

You're never blindsided

The worst part of volatility isn't the price movement itself. It's being caught off guard.

Firefish eliminates surprises through continuous monitoring and proactive alerts.

• Real-time LTV tracking: Your loan-to-value ratio's health can be measured by way of the Collateral Health Indicator (CHI) in your dashboard.

CHI, or Collateral Health Indicator, is a metric used on the Firefish platform to assess the sufficiency of collateral securing a loan. The higher the CHI value, the healthier the collateral position. A CHI of 100% signifies a fully healthy status, indicating that you have sufficient collateral as recommended by Firefish. However, as the CHI approaches 0, it's advisable to consider adding more collateral to avoid potential liquidation. When the CHI reaches 0, the collateral is subject to liquidation.

• Early warning system: When your LTV approaches concerning levels, you receive margin call alerts with time to act. No sudden liquidations without notice.

A margin call is an event which is triggered when your LTV hits a pre-defined level. There are 3 margin calls levels on Firefish: at LTV 73%, 79% and 86% (or CHI 33%, 22%, 11%). If your LTV reaches any of these levels, you receive an email notification.

Conservative design = Built-in buffer

Firefish uses conservative LTV ratios from the start. This isn't restrictive, it's protective. You get meaningful liquidity while maintaining substantial cushion against price swings.

Firefish has adopted a 50% LTV. LTV or Loan-to-Value ratio is a financial term that represents the ratio of a loan to the value of the collateral. The initial LTV (e.g., 50%) is used to determine how much Bitcoin needs to be locked in the escrow contract to secure a specific loan amount. For instance, to achieve an LTV of 50% for a $10,000 loan, you would need to deposit $20,000 worth of Bitcoin. If Bitcoin's price is $25,000, you'd deposit 0.8 Bitcoin (0.8 BTC * $25,000 = $20,000), resulting in an LTV of 50%. If the LTV reaches 95% during the loan term, the collateral is automatically liquidated to repay the loan and return the proceeds to the Investor.

That buffer matters during rapid drawdowns. It gives you time to respond rather than forcing immediate action.

You control your position

When volatility strikes, and you may receive a margin call, you have options to top-up your collateral through the platform or repay your loan.

Top up collateral anytime: Add Bitcoin to your position whenever you want. No waiting periods, no complicated processes.

Pay down your loan: Reduce your exposure by paying back your loan.

Please bear in mind, that the loan repayment process might take longer, and if the Bitcoin price continues to decline rapidly, there's still a risk of a liquidation.

Transparency throughout

You're never guessing about your loan status on Firefish.

Clear liquidation mechanics: You know how the process works before you ever get close to it.

Margin call alerts: Multiple warnings give you opportunities to act before liquidation becomes necessary.

Full visibility: Every aspect of your loan: current LTV, liquidation threshold, collateral value, is always accessible.

Built for Bitcoin's reality

Bitcoin is volatile. That's not a bug, it's a feature of the asset. Firefish is built with this reality in mind.

The platform doesn't pretend volatility doesn't exist, it gives you the tools to manage through it safely.

Real-time monitoring. Conservative ratios. Clear communication. Control over your position.

When markets test your nerves, these features matter.

Stay protected, stay informed

Market drops of 15-20% happen. With Firefish, you see them coming, understand their impact on your loan, and have the tools to respond. You're never surprised by a liquidation. You're always in control.

Firefish doesn't eliminate Bitcoin's volatility. Nothing can. But it does eliminate the uncertainty around your loan position. You know where you stand. You know what happens next. You know how to adjust. Whether Bitcoin's at $125,000 or $85,000 or anywhere in between, that clarity matters.

Keep your alerts on. Check your dashboard. Stay proactive. And remember, the goal isn't to predict Bitcoin's price. The goal is to maintain a position you can manage through any price.