Skip to Content
GlossaryLLong Position

Long Position

A trade betting on the price increase of a digital asset.

What is Long Position?

A long position in a Perp DEX is a trade where a trader buys a perpetual swap contract expecting the price of the underlying digital asset (e.g., ETH) to rise. For example, on Hyperliquid, a trader might open a 5x leveraged long position on BTC at $60,000, profiting if the price rises to $65,000, with gains amplified by leverage.

Long positions are settled in real-time based on the mark price, and traders pay or receive funding rates depending on market balance. If the market moves against the position, the trader risks liquidation unless they add more margin. Long positions are popular in bullish markets but require careful risk management due to volatility.

Last updated on