Provided are a display device and a manufacturing method thereof capable of preventing a short defect between electrodes. The display device includes a substrate, a common electrode formed on the substrate, a pixel electrode formed on the common electrode to be spaced apart from the common electrode with a microcavity therebetween, a roof layer formed on the pixel electrode, a liquid crystal layer filing the microcavity, and an encapsulation layer formed on the roof layer to seal the microcavity.