Embodiments of the present invention disclose a display panel and an encapsulation method thereof, and relate to the field of display technology. The display panel comprises a first substrate and a second substrate which are disposed in opposition to each other. The first substrate and the second substrate are encapsulated by a sealant. In a non-display area of the display panel, a first adsorption layer is disposed on one of the first substrate and the second substrate, and a second adsorption layer is disposed on the other of the first substrate and the second substrate. The first adsorption layer and the second adsorption layer may be attracted to each other by magnetic force. Embodiments of the present invention can effectively avoid the separation of the first substrate and the second substrate due to the stress released during the process of melting the sealant, thereby improving the problem of poor encapsulation caused thereby.