Pools and price ranges
A liquidity pool lets people swap between two tokens. A concentrated-liquidity position supplies assets within a chosen interval of prices. Your position can earn a share of trading fees when swaps use its active liquidity.
Flowlex's standard strategies use the WETH/USDC pool on Uniswap V3 on Base. WETH is the wrapped form of ETH. Flowlex Pro adds other eligible-pool choices and custom range controls where available.
What a range changes
Your lower and upper bounds determine where the liquidity is active. Concentrating the same amount in a narrower interval can give it a larger share of liquidity near those prices. It also increases the chance that a market move will take the position out of range.
A wider range spreads liquidity over more prices. It can stay active through larger price movements, but still carries market risk. Neither approach guarantees that the fees earned will outweigh changes in asset value or execution costs.
The Conservative, Balanced, and Aggressive presets offer different range widths. Their names describe relative settings, not guaranteed safety or returns. See Strategies and price ranges to compare them.
Inside and outside the range
For an illustrative ETH/USDC position with bounds of 1,600–2,400 USDC per ETH:
| ETH price | Underlying liquidity |
|---|---|
| Below 1,600 | ETH; inactive and not earning new trading fees. |
| 1,600 to below 2,400 | Active; the ETH/USDC mix changes with price. At the lower boundary it holds ETH only. |
| 2,400 or above | USDC; inactive and not earning new trading fees. |
This example describes the liquidity inside a position. It excludes previously earned fees and does not use live prices or estimate returns. An active position earns fees only when swaps use its liquidity.
What happens when the price moves?
Illustrative ETH / USDC position · 1,600–2,400 USDC per ETH
2,000 USDC / ETHIn range
Liquidity contains ETH and USDC. It can earn fees when trades use it.
A simplified illustration of the liquidity inside a position. It excludes previously earned fees and does not use live prices or estimate returns.
As the price moves upward through this example's range, the liquidity gradually shifts from ETH toward USDC. As it moves downward, the mix shifts toward ETH. An out-of-range position still exists, and its value can still change. Previously accrued fees remain separate from that liquidity.
If the price returns to the existing range, the liquidity can become active again. You decide whether to wait, rebalance, or close. Selecting a preset or enabling Pro does not make the range follow the market automatically.
Choosing custom bounds
Where Pro is available, use the price, percentage, or range controls in Pool & range to enter your bounds. Review the initial token split and what the position would hold outside the range.
Actual bounds follow the pool's supported price increments and the quote prepared for your transaction. Review the final preview before confirming. The pool's fee tier describes fees on swaps; it is neither your annual return nor the Flowlex service fee.
Rebalancing replaces the existing position with one using new bounds. It can involve swaps, costs, and realized losses. Moving back into range does not guarantee a better result. See Managing positions.
Compare estimates carefully
The calculator lets you compare assumptions about amounts, ranges, periods, and prices. Its research catalog may include pools that are not available in the deposit selector. Use the actual position-opening flow to check which pools you can use through Flowlex.
Historical time in range describes past prices, not the probability of remaining in range tomorrow. Fee APR and estimated earnings do not capture your full result. Consider token-price exposure, possible losses relative to holding, and execution costs.
For the underlying mechanism, see Uniswap's explanation of concentrated liquidity. Review Ownership and risks before opening a position.