How can professional LPs maximize returns while minimizing risk in Uniswap v3?

[nihalsari]

Advanced LPs deploy tight liquidity ranges around high-volume price zones, rebalance using volatility metrics, and automate strategies via LP managers or bots. However, narrow ranges increase exposure to impermanent loss and rebalancing costs, making active position management and fee-to-volatility ratio analysis critical for sustained profitability.

[kevin1]

Rebalancing with volatility metrics makes sense if ur actually monitoring it