For a long position, the trailing stop follows the highest mark price reached after tracking begins. For a short position, it follows the lowest mark price. Traders can set an activation price to determine when tracking starts or leave the field empty to begin tracking immediately from the current mark price.
The feature expands Hyperliquid’s existing set of conditional order tools as activity across its perpetual futures platform continues to grow.
Hyperliquid trailing stops follow the mark price
Unlike a fixed stop price, Hyperliquid’s trailing stop adjusts when the market moves in favor of an open position.
For example, a trailing stop attached to a long position will follow the highest mark price reached after activation. If the mark price continues rising, the trigger moves with it. Once the market retreats by the distance or percentage chosen by the trader, the order is triggered.
Short positions work in the opposite direction. The trigger follows the lowest mark price reached since activation and executes once the price rebounds by the configured amount.
Hyperliquid said traders can choose between a fixed distance and a percentage when setting the retracement threshold. An optional activation price lets the user delay tracking until the market reaches a specified level. Without an activation price, the current mark price becomes the starting point.
Once the retracement condition is met, the trailing stop triggers a market order for the selected quantity. Hyperliquid’s existing take profit and stop loss system similarly uses the mark price to determine when conditional orders are triggered, according to the platform’s documentation.
Existing market TP and SL orders carry a 10% slippage tolerance, while limit versions allow traders to specify a limit price to control potential slippage. Hyperliquid warns in its support documentation that the trigger price and actual execution price can differ because the mark price triggers the order before it is filled against available liquidity.
The platform already supports market, limit, stop market, stop limit, take market, take limit, scale and TWAP orders. Its TWAP system breaks larger orders into smaller transactions sent at 30 second intervals, with each suborder subject to a maximum slippage setting.
Perpetual markets have expanded through HIP 3
The trading update follows several changes to Hyperliquid’s perpetual futures infrastructure over the past few months.
In September, Hyperliquid introduced a preliminary testnet upgrade that allows independent HIP 3 deployers to operate permissioned perpetual markets using onchain allowlists. Deployers can manage access themselves or assign the task to sub deployers, while the permissioning system remains optional for HIP 3 markets.
HIP 3 allows outside teams to deploy and operate perpetual markets using Hyperliquid’s infrastructure. The framework has increasingly been used to extend the types of assets and market structures available through the network.
Crypto.news previously reported that Kraken parent Payward has outlined plans to bring regulated Hyperliquid perpetuals to eligible U.S. clients through Bitnomial, subject to regulatory approval.
Under the proposed structure, CFTC regulated Bitnomial would deploy, administer, clear and settle the HIP 3 contracts. NinjaTrader Clearing would carry customer accounts, with access limited to users approved by the participating entities.
The plan followed earlier discussions involving Hyperliquid Labs and Payward over a structure that could make selected perpetual contracts available to U.S. traders without providing direct access to Hyperliquid’s decentralized trading platform.
Hyperliquid Policy Center and trade[XYZ] have pursued a separate regulatory path for commodity linked contracts. In August, the groups asked the Commodity Futures Trading Commission to permit regulated energy perpetuals tied to WTI crude, Brent crude and Henry Hub natural gas.
Their filing said trade[XYZ] had operated perpetual markets on Hyperliquid since October 2025, with cumulative volume exceeding $500 billion. The proposed framework included stablecoin margin, leverage limits and regulated onchain trading infrastructure.
Hyperliquid trading activity remains elevated
Hyperliquid’s derivatives business has continued to generate substantial trading activity as new products and integrations have reached users.
Coinbase brought more than 290 perpetual markets to its Base App through Hyperliquid in August. Eligible users can trade contracts linked to cryptocurrencies, stocks and commodities while remaining inside their existing wallets, with leverage reaching as high as 50 times on supported markets.
Users in the United States, United Kingdom and Canada were excluded from the product when the integration was announced.
Hyperliquid’s revenue has grown alongside trading activity. CoinGecko data published on Sept. 21 showed the platform generated $429.04 million in revenue between Jan. 1 and Sept. 15, accounting for 12.62% of the $3.40 billion revenue pool in the research firm’s adjusted comparison of crypto projects.
The platform’s fee structure directs part of trading revenue toward its Assistance Fund, which purchases $HYPE on the open market. Hyperliquid’s documentation lists maker rebates reaching negative 0.003% for qualifying high volume market makers, while accounts linked to more than 500,000 $HYPE in staking can receive a 40% trading fee discount.
$HYPE has traded near record levels during the expansion. CoinGecko data on Sept. 21 placed the token near $94 after it reached a record $92.56 on Sept. 18 and subsequently moved higher.
The Sept. 18 move coincided with Hyperliquid introducing manual borrowing that lets users supply $HYPE or Bitcoin as collateral and borrow USDC or USDT. $HYPE carries a 65% loan to value ratio under the system, compared with 50% for Bitcoin.
