Forced closure of a leveraged position when equity falls below maintenance margin.
When a position's mark-to-market value drops to a level where the trader's equity equals (or is about to equal) the maintenance margin requirement, the exchange auto-closes the position. On Hyperliquid, this is handled via auto-deleveraging and the liquidation engine. Use the [liquidation calculator](/tools/leverage-liquidation-calculator) to estimate your trigger price.
When a position's mark-to-market value drops to a level where the trader's equity equals (or is about to equal) the maintenance margin requirement, the exchange auto-closes the position. On Hyperliquid, this is handled via auto-deleveraging and the liquidation engine. Use the [liquidation calculator](/tools/leverage-liquidation-calculator) to estimate your trigger price.