Concentrated Liquidity

Concentrated liquidity (CL) lets you place your capital inside a specific price range instead of spreading it across the whole curve. Powered by Algebra Integral, it's dramatically more capital-efficient (the same money provides far deeper liquidity where trading actually happens), but it only earns while the price is inside your range.

Deposit ranged liquidity, watch the live liquidity-depth chart, and manage positions

In range vs. out of range

This is the single most important thing to understand about CL:

In range = active liquidity, earning fees and emissions. Out of range = inactive liquidity, earning nothing until price returns.

When the market price sits inside your [Low, High] band, your position is trading and earning. When the price moves outside it, your position converts entirely to one token and stops earning until the price comes back (or you re-range).

Choosing a range

The deposit panel gives you preset ranges and manual controls:

Preset	Roughly	Character
Aggressive	a few ticks around price	Maximum efficiency, needs constant attention
Narrow	±3%	Efficient, active management
Wide	±10%	Balanced, lower maintenance
Full	entire curve	v2-like, never out of range

You can also drag the Low and High handles directly on the chart, or nudge them with the steppers. The tighter the range, the more capital efficiency and emissions you get per dollar, but the more likely the price is to leave it, and the more often you'll need to re-range.

New to CL? Start wide and tighten as you learn the pair. Prioritize staying in range over chasing maximum efficiency: an out-of-range position earns nothing, so a slightly-less-efficient position that stays in range beats a razor-thin one that doesn't.

The liquidity-depth chart

The chart is the pool's real liquidity distribution, decoded live from the on-chain tick bitmap. It shows:

• the current price (dashed line),
• your selected range (the shaded band with draggable Low/High handles),
• the liquidity distribution across price levels, so you can see where other LPs are concentrated before you place your own.

Reading it: deposit where liquidity is concentrated to capture more volume; place a narrow band right around the current price for maximum efficiency if you'll manage it actively.

Depositing

1. Pick a pool and confirm the current price (there's a flip button to invert the quote).
2. Choose a range: a preset, the steppers, or drag the chart handles.
3. Enter amounts (with Half / Max shortcuts from your balance).
4. Approve each token the first time, then Open position. You receive an Algebra position NFT.

Managing a position

Your positions list shows each one's range, its in-range / out-of-range / closed status against the live price, and offers:

• Increase: add more liquidity to the position.
• Collect: claim accrued fees.
• Close: withdraw all liquidity and collect in one flow.

To move a range, close the position and open a new one at the new band.

Earning on CL

CL emissions work differently from classic pools: they're streamed off-chain via Merkl. See CL Emissions (Merkl) →. And be aware of Impermanent Loss →, which is amplified by tighter ranges.