Start from volatility, not vibes
Ask: how far does this pair usually move over my intended hold?
| Pair type | Typical weekly swing | Starting width | |-----------|----------------------|----------------| | Stable (USDC/USDT) | <1% | ±4–8% | | Bluechip (ETH/USDC) | 8–20% | ±12–20% | | Volatile / farm tokens | 30%+ | ±25–40% or active rebalance |
Capital efficiency vs time-in-range
Liquidity density is higher in a tighter band, so you earn a larger share of fees while in range. But every minute out of range, your fee APR is zero and you hold a directional bag.
Range Coach heuristic (used in the app)
We suggest a width from a volatility bucket and explain *why* — not a black-box optimizer. You should still sanity-check against your own thesis and upcoming catalysts (unlocks, macro events).
Rebalancing discipline
If you rebalance weekly, you can run tighter. If you are passive for a month, widen. Gas on L2 is cheap enough that one thoughtful rebalance often beats a too-wide range that never feels "active."
Takeaway
Width is a risk dial: tighter = more fee intensity + more management. Use Scenario Lab to save two widths and compare Net Yield under the same shock.