Reading the liquidation heatmap

Distinguish a modeled pressure field from covered positions and published forced liquidations.

The liquidation display brings together different evidence sources. Identify the layer before interpreting a bright region as a measured quantity.

Modeled field

The field projects pressure from market activity under assumptions about leverage and position formation. Price and volume do not reveal a complete inventory of open positions. Brightness and the forward projection describe the model’s relative weighting, not a calibrated probability that price will visit a zone or that a stated dollar amount will liquidate there.

A zone dimming or being consumed is a change in modeled state. It does not prove all real positions near that price have closed.

Covered Hyperliquid positions

The Hyperliquid layer uses covered exchange-reported position information. Read the coverage label and margin limitations. A partial wallet census is not the entire venue’s open interest.

Published liquidation prints

Observed prints show forced-liquidation publications received from the feed. Publication limits mean they are not a complete census. Keep those prints separate from modeled pressure and from covered positions.

Controls and replay

Use the layer toggles, leverage filters and display settings to inspect the field. A filter changes the assumptions or portion displayed; color and opacity change its presentation. Neither proves a trading advantage.

In replay, inspect the model and prints before, during and after an event. Include examples where price did not approach a bright zone. Exact field behavior also depends on the data, engine version and initialization used for that replay.

From an example to a study

A vivid heatmap sequence is an illustration. Claims about capture rates or predictive value need a versioned evaluation, its baseline and coverage. Use the Research Workbench to formulate a supported measurement question and published reports to inspect evidence. The liquidation intensity and clustering readings have their own calculations; neither is a measurement of every modeled zone on this display.