Mark Price vs Last Price: Liquidation and Stop Triggers
What is the last price?
The last price is the most recent traded price of the contract; it reflects the contract's own supply and demand and can drift from the spot price[1].
What is the mark price?
According to Binance, the mark price is the estimated fair value of the contract. It is not the price at which trades execute but an indicator for monitoring position risk; the last price is the basic market price for trading[1]. It aims to guard against price manipulation on a single order book or platform and to reduce unnecessary liquidations in volatile periods[1]. Binance's liquidation documentation says the mark price is derived from funding data and multiple spot exchanges[3].
Which is used where?
Binance Futures triggers liquidation on the mark price and calculates unrealized PnL from it[1][3]. For stop-loss and take-profit orders, either the last price or the mark price is chosen as the trigger when the order is placed[2].
Why the gap matters
In extreme moves the last price can deviate sharply from the mark price, and Binance advises monitoring the gap between the two[2]. A stop triggered on the last price and one triggered on the mark price can therefore fire at different moments of the same move.
Stop-loss and liquidation price
Binance advises against placing a stop-loss close to the estimated liquidation price: if liquidation happens first, the stop-loss order expires[2]. According to Binance, the mark price is truncated down to the price precision before comparison, so an order can trigger even when the mark price is fractionally above or below the trigger price[2].
Disclaimer
Choosing a trigger price does not guarantee an outcome; in fast markets the fill price can differ from the trigger price. This page is educational, not investment advice.
Frequently asked questions
- What is the difference between the mark price and the last price?
- The last price is the most recent traded price; the mark price is the contract's estimated fair value, used to monitor position risk[1].
- Which price drives liquidation?
- Binance Futures triggers liquidation on the mark price[1][3].
- Which can be the stop-loss trigger?
- On Binance either the last price or the mark price is chosen as the trigger when the order is placed[2].
Related guides
Sources
- What is the difference between the latest price and the mark price of a futures contract?. Binance Square. Accessed: 2026-10-22.
- How to Place Stop Loss and Take Profit Orders on Binance Futures. Binance Support. Accessed: 2026-10-22.
- Binance Futures Liquidation Protocols. Binance Support. Accessed: 2026-10-22.