The invention relates to a display device, a stretchable display panel and a manufacturing method of the display panel, and relates to the technical field of display. The stretchable display panel comprises a flexible substrate and a plurality of pixel islands and island connection lines on the flexible substrate, wherein the island connection lines connect the adjacent pixel islands; each islandconnection line comprises a first outer protective layer arranged on the flexible substrate, a first inner protective layer arranged on the surface, deviating from the flexible substrate, of the firstouter protective layer and made of an elastic hydrophobic material, a conductive layer arranged at the local part of the surface, deviating from the flexible substrate, of the first inner protectivelayer, a second inner protective layer covering the conductive layer and the first inner protective layer and made of the elastic hydrophobic material, a second outer protective layer arranged on thesurface, deviating from the flexible substrate, of the second inner protective layer, and a packaging layer covering the second outer protective layer; the Young moduli of the first inner protective layer and the second inner protective layer are lower than the Young moduli of the first outer protective layer and the second outer protective layer; and the Young moduli of the first outer protectivelayer and the second outer protective layer are lower than that of the packaging layer.