How Mark Price and Margin Rules Trigger Bitget Futures Liquidation
Summary
The document explains how Bitget futures positions can be partially or fully liquidated when they no longer meet maintenance-margin requirements. It describes the roles of initial and maintenance margin, mark price, position tiers, and account collateral. Liquidation risk can change as prices move, fees and funding accrue, or available collateral falls. The text also notes that the displayed liquidation estimate can differ from a calculation based on the latest trade.
It outlines partial liquidation as a way to reduce exposure where the platform’s rules allow, and describes how cross-margin and isolated-margin shortfalls are handled. A cited 2024 change bases tiered maintenance margin on position value using the lower of mark price or entry price, with the stated aim of lowering requirements in some higher tiers. The document recommends lower leverage, spare collateral, and monitoring position settings, while warning that stops cannot guarantee protection in fast markets. Its formulas and fee example depend on changing contract parameters, so the article is an overview rather than a substitute for current exchange rules.
Key ideas
- Maintenance-margin requirements and mark price are central to liquidation risk.
- Positions may be partially reduced before a full liquidation, depending on applicable rules.
- Margin mode, position tier, fees, funding, and collateral affect liquidation calculations.
- Stop-loss orders can fail to execute before forced liquidation in fast or illiquid markets.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.