'Price is drawn to liquidation clusters': the sign flips

Source: Liquidation-map trading, widespread on YouTube and X

The 1% band says up. The 2% and 5% bands say down.

A real effect doesn't flip sign between neighbouring settings.

This verdict is about the strategy as published, not about the person who shared it.

The claim

Here’s what the strategy promises, in its own terms.

Big clusters of liquidation levels act like magnets; trade toward them.

How we tested it

Same six checks as everything else here: random entries, coin flips, a look-ahead audit, unseen years, double costs and a luck check. How we test →

What we found

We recorded 27.3 million Hyperliquid position snapshots over 1,263 hours and tested 9 band-and-horizon combinations. Three beat their control, but with opposite signs: a 1% band said price goes up toward clusters below, the 2% and 5% bands said it goes down. A real effect does not flip sign between neighbouring settings. The best spread was 12 basis points against roughly 9 basis points of round-trip fees.

The numbers

The headline numbers from our test.

Snapshots millions	27.3
Hours	1,263
Combos	9
Combos beating control	3
Sign consistent	no
Best spread	12.2 bps
Fees	9 bps

• Profit factor: money won divided by money lost. Below 1.0 loses money. Around 1.0 is break-even.
• R-multiple: profit or loss measured in units of the amount risked per trade. +1R means you made what you risked.
• vs random: how the strategy did against the same trades with random entries.