Web3 Concentrated Liquidity Price Range & Yield Simulator

Web3 Uniswap v3/v4 Liquidity Tool

Tired of Out-of-Range LP Positions & Capital Inefficiency?

Simulate capital efficiency multipliers, yield multipliers, and price boundaries for concentrated liquidity pools like Uniswap v3, Uniswap v4, and Raydium CLMM.

⚠️ Educational estimate, not financial advice. Narrowing price ranges increases capital efficiency but exposes liquidity positions to higher impermanent loss when prices trade outside defined bounds.
Capital Efficiency Boost
10.05x
Effective Price Band (%)
±20.00%
Virtual Capital Power ($)
$10,049.88

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Understanding Concentrated Liquidity in Uniswap v3, v4, and CLMM Protocols

Traditional Automated Market Makers (AMM v2) distribute liquidity evenly across an infinite price spectrum from zero to infinity. Because spot assets spend most time trading within narrower market ranges, standard pools leave over 95% of deposited capital idle.

Concentrated Liquidity Market Makers (CLMMs) like Uniswap v3/v4 allow liquidity providers (LPs) to allocate capital exclusively within a designated price range between Lower Bound and Upper Bound. This creates massive Capital Efficiency Multipliers, allowing LPs to earn significantly higher trading fees with smaller capital deposits. The Web3 Concentrated Liquidity Price Range & Yield Simulator evaluates range boundaries and effective virtual capital multiplier metrics.

Governing Mathematical Formulas

This client-side CLMM engine models virtual liquidity leverage using standard Uniswap v3 range equations:

  • Capital Efficiency Multiplier (Boost): Boost = 1 / [1 - (Pa / Pb)^0.25]
  • Effective Virtual Capital ($): Virtual Capital = Capital Deposit × Boost
  • Range Band Percentage (%): Range Band (%) = [(Upper Price - Lower Price) / Current Price] × 100

Worked Calculation Examples

Consider the default inputs loaded into this calculator:

  • LP Capital Deposit: $1,000.00
  • Current Asset Price: $2,500.00
  • Lower Price Bound (Pa): $2,000.00
  • Upper Price Bound (Pb): $3,000.00

Setting range bounds between $2,000 and $3,000 around a $2,500 spot price creates a ±20.00% range band. Applying the Uniswap v3 capital concentration formula produces a 10.05x Capital Efficiency Boost. Your $1,000 deposit generates the same trading fee earning power as a $10,049.88 position in a traditional v2 liquidity pool.

Frequently Asked Questions

1. What happens when asset price moves outside my concentrated liquidity range?

When price moves below your lower bound, your position is converted 100% into the volatile asset. When price moves above your upper bound, your position is converted 100% into the stable asset. In both cases, fee earnings pause until price returns inside your range.

2. Is concentrated liquidity riskier than traditional v2 liquidity provisioning?

Yes. Concentrated liquidity amplifies both fee earning rates and impermanent loss rates. Selecting too narrow a price range accelerates impermanent loss when prices break out of bounds.

3. What is a Range Order in Uniswap v3/v4?

A Range Order is created by placing liquidity in a very narrow price band above or below current spot price. As price moves through the band, the position smoothly executes a full asset swap similar to a limit order.

4. How often should LPs rebalance concentrated positions?

Rebalancing frequency depends on asset volatility and transaction gas costs. Rebalancing requires closing the position and reopening a new range, incurring gas and swap fees.

5. Is this concentrated liquidity simulator private and secure?

Your inputs are not sent to our servers. All calculations execute locally in your browser using JavaScript logic. The page may still load standard third-party ad services.

Last updated: October 2026

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