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Liquidation and liquidation price
Liquidation (forced close) happens when your margin falls below the maintenance margin. To prevent further loss, the system closes your position at market price. Any leftover margin is returned; if losses are too large, it can be fully lost.
Liquidation price is the estimated price at which your position would be liquidated. <b>The number you see on the page is dynamic and based on your account/assets. In practice, liquidation is triggered when your margin ratio reaches or exceeds 100%.</b>
Liquidation (forced close) happens when your margin falls below the maintenance margin. To prevent further loss, the system closes your position at market price. Any leftover margin is returned; if losses are too large, it can be fully lost.
Liquidation price is the estimated price at which your position would be liquidated. <b>The number you see on the page is dynamic and based on your account/assets. In practice, liquidation is triggered when your margin ratio reaches or exceeds 100%.</b>
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What is the mark price?
To reduce unfair liquidations from sudden wicks or manipulation, <b>unrealized PnL and liquidation checks use the mark price</b>, not the last traded price. This helps keep the perps market more stable.
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What is the index price?
The index price is a reference price calculated by taking the weighted average from several spot exchanges. Larger or more reliable markets usually influence the result more.
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What is the oracle price?
The oracle price is provided by a price oracle – a trusted data source that pulls market prices (often from multiple exchanges) and publishes an updated price for use. It's designed to be reliable and hard to manipulate.
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What is the funding rate?
<b>The funding rate keeps perps aligned with the spot price by having longs and shorts pay each other periodically.</b> When the perp price is above spot, funding is usually positive: longs pay shorts, encouraging shorts and pulling price down. When it's below spot, funding is usually negative: shorts pay longs, encouraging longs and pushing price up. The countdown shows the time until the next funding payment between longs and shorts.