Step 5: Select Volatility Strategy

This setting is from meteora, different volatility strategy will fit different market situation and trading pairs.

Spot Strategy

Offers a uniform liquidity distribution that is flexible and adaptable to any market condition. It is the simplest volatility strategy, ideal for new LPs who prefer less frequent rebalancing. This approach is similar to setting a CLMM price range.

Curve strategy

Designed for a concentrated strategy that maximizes capital efficiency by allocating most liquidity near the center of your price range. This is particularly effective for stablecoins or pairs with minimal price fluctuations.

Bid Ask Strategy

Represents an inverse Curve distribution, concentrating liquidity at both ends of the price range. This strategy targets capturing larger volatility swings away from the current price. While more complex than Spot and requiring more frequent rebalancing, Bid-Ask offers high potential for fee generation during periods of significant price volatility. It can also be used single-sided for dollar-cost averaging (DCA) strategies, either entering or exiting a position.