How the liquidation price is calculated
Hyperliquid liquidates a position when its equity falls below the maintenance margin. The maintenance margin is half of the initial margin at the coin’s maximum leverage: 1.25% of the position at 40x, 2.5% at 20x, 10% at 5x.
With isolated margin only the margin of this position backs it, so the leverage you choose moves the liquidation price. With cross margin the whole account backs the position, and the liquidation price depends on the account value rather than on the leverage setting.
Liquidation is triggered by the mark price, not the last trade. Positions above $100K are liquidated in parts of 20%, and the largest markets have margin tiers: for very large positions the maintenance margin is higher than in this calculation.
liq_price = entry − side × margin_available / size / (1 − l × side) l = 1 / (2 × max leverage) maintenance margin rate margin_available = margin − position value × l side = 1 for long, −1 for short