This weekend, memory stocks swept ~7% in minutes on perp markets, on no news, then bounced most of the way back.
On Arcus, price bands held the move. Outside regular trading hours, perps trading and the mark price are constrained to a range around the last regular-hours price.
The range widens only if sustained pressure builds - so a flash wick in thin weekend liquidity can't instantly mark positions down.
The result on Saturday: 44.4k orders were rejected at the band floor, and 98% of open positions on SKHY, SNDK, MU, DRAM, CRWV, and BE made it through the wick without being liquidated.
Price bands don't make liquidation impossible - a real, sustained move will still move the mark. They exist so you aren't liquidated by ten minutes of thin liquidity.
How off-hours protection works: