Cliffhanger is a standard side-scrolling beat'em up based on the Stallone film of the same name. Sly must fight thugs and the elements as he tracks down suitcases of stolen cash dropped around the peaks of the Rockies. Combat follows the Final Fight standard, broken up by some mountain climbing and running from avalanches.
The gameplay involves fighting enemies, including crooks with guns and knives, which can be picked up to use against them. The game follows a pattern of natural hazards and fighting segments, with limited available fighting moves and less accurate hitting.
The plot is identical to the film, with levels based on or inspired by scenes in the movie. Animated cutscenes move the story along on the cartridge systems, while brief clips from the film play between levels on the Sega CD.