Liquidation

The price where the exchange closes you out.

What it is. Liquidation is a forced close. When the mark price crosses your liquidation price, the exchange closes the position and keeps your margin. You do not get a warning email first.

Maintenance margin. Exchanges require a minimum margin to keep a position open, called maintenance margin. On Hyperliquid it is half of the initial margin at the coin's max leverage. Below it, you are liquidated.

The formula, in words. Liquidation price = entry, moved against you by the margin you have, minus the maintenance buffer. More margin or lower leverage moves it further away.

The bar on your position. MemeSim shows a bar: how far the mark is from liquidation, in percent. Under 5% is a red zone. Add margin by closing part of the position, or get out.

Mark, not last trade. Liquidation uses the mark price, not the last trade. A single wild print on the book cannot liquidate you. A real move can.