Simulate is Metrix Finance's flagship analytics tool, specifically designed to provide liquidity providers with institutional-grade insights into potential LP positions. This powerful feature allows you to model potential outcomes before committing capital, helping you make informed decisions by examining historical data, projecting returns, and analyzing risk factors across various market conditions.
Accessing Simulate
You can access the Simulate tool through multiple pathways:
From the main navigation menu at the top of the Metrix Finance dashboard
By clicking the "Simulate" button next to any pool in the Discover section
Through the Build tool when constructing or analyzing portfolio positions
Via the Track tool when examining performance of your existing positions
Getting Started with Simulate
Step 1: Select Your Pool
The Simulate tool requires you to first select a liquidity pool for analysis. You can do this by:
Using the dropdown selection fields to choose an exchange (Uniswap v3, SushiSwap, etc.), network (Ethereum, Arbitrum, etc.), token pair, and fee tier
Directly pasting a specific pool address into the address input field
Clicking the "Simulate" button next to any pool displayed in the Discover page results
You can also use the "Switch Pair" option to reverse the base and quote assets if you prefer to view the analysis from the perspective of the other token.
Step 2: Configure Your Analysis Parameters
Once you've selected a pool, you'll need to configure several key parameters:
Deposit Amount
Enter the total capital you're considering allocating to this position
Metrix Finance will automatically calculate the optimal token split based on your chosen price range
The interface shows exactly how much of each token you'll need to provide and the dollar amount
Liquidity Price Range
Set your minimum and maximum prices to define your concentrated liquidity range
Adjust the range using the sliders or by manually entering specific values
Use the "Match Ticks" button to snap to the closest available ticks on the exchange
Calculation Range
Select how many days of historical data to include in your analysis (e.g., 30, 90, 365 days)
This setting affects all calculated metrics including APR projections, price volatility, and volume analysis
Pro users can access extended ranges beyond 90 days for more comprehensive analysis
Calculation Price
Determine which price on the liquidity distribution chart will be used for APR calculations
Prices with higher liquidity will show higher APR estimates compared to prices with lower liquidity
You can manually enter a specific price or use the current market price
This allows you to simulate performance at different price points along the liquidity curve
Key Components and Features
Estimated Fees Section
This section provides detailed projections of potential earnings:
Daily Fee Estimate: Shows projected 24-hour fee generation
Monthly Return (%): Displays monthly percentage return based on historical data
Annual APR (%): Projects yearly returns as an annualized percentage rate
The fee calculations factor in:
Historical trading volume within your specified calculation range
Your position's price range width relative to the full range
Current liquidity distribution at your chosen calculation price
Deposit Amount Section
This section helps you understand exactly what you need to deploy your position:
Shows the split between the two tokens based on current price and your selected range
Displays the dollar value equivalent of each token amount
"Create Position" button takes you directly to the exchange to deploy your capital with these parameters
Liquidity Distribution Visualization
This critical graph displays where liquidity is concentrated within the pool:
X-axis represents the price of the pool
Y-axis shows the amount of liquidity at each price point
Calculation price is marked with a vertical line
Your selected range is highlighted
Helps you identify where to position your calculation price for accurate results
Pool Price Chart
This interactive chart shows historical price movement:
Tracks how the asset pair's price has changed over your selected time period
Helps identify support and resistance levels
Assists in determining optimal range boundaries
Includes MIN, MAX, PRICE, and AVG indicators for quick reference
Volume History
This bar chart visualization shows daily trading activity:
Displays trading volume for each day in your selected calculation range
Hover functionality reveals detailed volume and fee data for specific days
Helps identify trading patterns and potential high-fee periods
Critical for understanding fee generation potential
Position Breakdown
This versatile visualization allows you to see your position's composition across different price points with three viewing options:
Token View
Shows how the quantity of each token in your position changes as price moves
Illustrates the asset shifts that occurs as prices change
Helps visualize how concentrated liquidity works in practice
Value View
Displays the quote token value of each asset at different price points
Shows how the value composition shifts between tokens as price moves
Useful for understanding impermanent loss dynamics
Total Value View
Shows the combined quote token value of your position at different prices
Illustrates overall position performance across the price spectrum
Helps visualize the relationship between price movement and total position value
Simulate Position Performance Tool
This powerful feature lets you run "what-if" scenarios to understand potential outcomes:
Price Scenario Testing: Adjust theoretical future prices to see how your position would perform
Divergence Loss Analysis: Calculate potential divergence (impermanent) loss under different scenarios
Fee Offset Visualization: See how accumulated fees can offset divergence loss over time
HODL Comparison: Compare your LP strategy against simply holding the tokens
Asset Rebalancing Projection: View how your assets would be shifted in different price environments
Advanced Metrics Panel
Access sophisticated analytics including:
Price Volatility: Measure of pool price fluctuation between the paired assets
TVL: Total liquidity currently in the pool
Avg. Daily Fees: Average daily fees over calculation range
Daily Fees/TVL: Average daily fees relative to TVL
Avg. Daily Rewards: Average daily rewards over calculation range
Daily Rewards/TVL: Average daily rewards relative to TVL
Avg Daily Volume: Average daily trading volume over calculation range
Daily Volume/TVL: Average daily volume relative to TVL
Correlation: Statistical relationship between the paired assets' price movements
Geometric Mean: The price point in your range where your position will hold 50/50 of each asset
Settings
The Settings section allows you to:
Override asset prices for advanced scenario planning (Pro feature)
Change the pool price for simulation purposes
This is particularly useful for advanced simulations and when planning a sequence of rebalances
Save to Portfolio
The "Save to Portfolio" feature allows you to add your simulated position to the Build section of Metrix Finance, where you can incorporate it into broader portfolio analysis and compare it against other positions (Pro feature).
Pro Features Summary
Metrix Pro subscribers gain access to these enhanced simulation capabilities:
Calculation ranges beyond 90 days (up to 365 days)
Detailed dollars per tick and advanced liquidity distribution information
"Match Ticks" functionality for precise range setting
Complete Position Breakdown visualization (Token, Value, and Total Value views)
Price volatility, correlation, and geometric mean metrics
Asset price adjustment in settings
Save to Portfolio functionality
Simulate Position Performance tool
With these Pro features, you'll have everything you need to make data-driven decisions about your liquidity provision strategy and potentially optimize your DeFi returns.