> For the complete documentation index, see [llms.txt](https://docs.bullpen.fi/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.bullpen.fi/trading/perpetuals.md).

# Perpetuals

Perpetual futures (perps) are derivative contracts that track the price of an underlying asset without an expiration date. All perp trading on Bullpen executes on Hyperliquid.

## How Perps Work

A perpetual future lets you speculate on price movements with leverage. Unlike traditional futures, perps never expire. You can hold a position indefinitely as long as you maintain sufficient margin.

**Long position**: You profit when the price goes up.\
**Short position**: You profit when the price goes down.

## Key Concepts

### Funding Rate

Funding keeps the perp price aligned with the spot (index) price. Every hour, traders exchange payments:

* If perp price > index price → longs pay shorts
* If perp price < index price → shorts pay longs

The funding rate displayed in the interface shows the expected payment as a percentage. Positive means longs pay; negative means shorts pay.

### Oracle Price

The oracle price is the reference price derived from external spot markets. It's used to calculate funding rates and determine liquidation thresholds.

For detailed oracle methodology, see [Hyperliquid Docs: Oracle](https://hyperliquid.gitbook.io/hyperliquid-docs/hypercore/oracle).

### Mark Price

The mark price is used for:

* Calculating unrealized PnL
* Margin requirements
* Triggering TP/SL orders
* Liquidations

It's designed to be manipulation-resistant by incorporating multiple price inputs.

For details, see [Hyperliquid Docs: Robust Price Indices](https://hyperliquid.gitbook.io/hyperliquid-docs/trading/robust-price-indices).

### Margin

Bullpen uses USDC as collateral for perps. You can choose between:

**Cross Margin**: Your entire perps balance serves as collateral across all positions. Gains from one position can offset losses from another.

**Isolated Margin**: Collateral is allocated to each position individually. A liquidation in one position won't affect others.

## Leverage

Maximum leverage varies by asset. Major pairs like BTC and ETH support up to 50x. Smaller assets may have lower limits.

Higher leverage = higher risk. A 50x position gets liquidated with just a 2% adverse move.

## Liquidations

If your position's margin ratio falls below the maintenance requirement, you get liquidated. The liquidation engine closes your position at the current mark price.

To avoid liquidation:

* Use lower leverage
* Set stop losses
* Monitor your margin ratio
* Add margin to at-risk positions

For liquidation mechanics, see [Hyperliquid Docs: Liquidations](https://hyperliquid.gitbook.io/hyperliquid-docs/trading/liquidations).

## Available Markets

Bullpen supports all perpetual markets listed on Hyperliquid. This includes major assets (BTC, ETH, SOL) as well as a wide range of altcoins and memecoins.

View the full list in the app or check [Hyperliquid's perpetual assets](https://hyperliquid.gitbook.io/hyperliquid-docs/trading/perpetual-assets).


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