The prices shown on the Bybit chart are the price history and movement of the platform's Last Traded Price (LTP). On the other hand, liquidation is triggered by Mark Price (yellow price figure on the right of order book) and not LTP (the price you see on the charts, price figure on the left of order book) due to the adoption of Bybit's Dual-Price Mechanism. Liquidation engine will take over the liquidation process of your position only when Mark price reaches the liquidation price of your position.
As such, if a trader sets their Stop Losses to be triggered by LTP or Index price and sets it very close to your liquidation price (e.g holding a Buy Long position, Stop Loss was set at 8600 and triggered by LTP when liquidation price is at 8595), it is entirely possible for the Mark Price to hit your liquidation price first before the LTP could trigger your stop loss.
To view the Mark Price history on the price chart, please refer to the symbol .MBTC, Bybit
Take note to make the following adjustment for more accurate representation of the Mark Price:
-Click on the settings icon on the Mark Price bar
-Under the "Source" dropdown, select the following based on your open position
Buy/Long - "Low" Selection (Long position's liquidation price is triggered when Mark Price moves downwards)
Sell/Short - "High" Selection (Short position's liquidation price is triggered when Mark Price moves upwards)
