Interpreting CLP Pool Data

This guide explains how to read and use the data generated by the Pool Scanner and Analyzer tools to select the most profitable liquidity pools.

1. The Data Pipeline

Scanner (pool_scanner.py): Runs continuously. Connects to the blockchain every 10 minutes and records the "Heartbeat" of each pool:
- Tick: The current price tick.
- FeeGrowthGlobal: A cumulative counter of all fees earned by the pool since inception.
Analyzer (analyze_pool_data.py): Runs on demand. It "replays" the history recorded by the scanner to simulate how a specific strategy (e.g., $10k investment, +/- 10% range) would have performed.

2. Reading the Analyzer Report

When you run python tools/analyze_pool_data.py, you get a table like this:

=== POOL PERFORMANCE REPORT ===
Pool                                      Duration   Rebalances  Final Equity (Est)  ROI %
Uniswap V3 (Base) - WETH/USDC             1 days     2           10050.00            0.50
Aerodrome SlipStream (Base) - WETH/USDC   1 days     0           10010.00            0.10

Key Metrics

Duration: How long the scanner has been tracking this pool. Longer duration = more reliable data.
Rebalances: How many times the price went Out of Range (+/- 10%) during this period.
- Low is Good: Means the price is stable relative to your range. Less work for the bot, fewer fees paid.
- High is Bad: Means the pool is volatile. You are paying frequent swap/gas fees to move your range.
Final Equity (Est): Your simulated $10,000 starting capital after:
- (+) Adding estimated Fee Income.
- (-) Subtracting Rebalance Costs (0.1% per rebalance).
- (+/-) Asset Value Change (Impermanent Loss is inherently captured because we track value in USD).
ROI %: The return on investment for the duration.
- 0.50% in 1 day approx 180% APR (compounded).

3. Selecting a Pool

Use the report to find the "Sweet Spot":

Scenario	Verdict
High Fees, Low Rebalances	🥇 BEST. The ideal pool. Price stays in range, volume is high.
High Fees, High Rebalances	⚠️ RISKY. You earn a lot, but you burn a lot on swaps/gas. Net profit might be lower than expected.
Low Fees, Low Rebalances	😴 SAFE. Good for "set and forget," but returns are meager.
Low Fees, High Rebalances	❌ AVOID. You will lose money rebalancing a chop-heavy pool with no volume.

4. Advanced: Raw Data (`pool_history.csv`)

If you open the CSV directly, you will see columns like feeGrowthGlobal0X128.

Fee Growth: This number ONLY goes up.
Speed of Growth: The faster this number increases, the higher the trading volume (and APR) of the pool.
Tick:
- Price = 1.0001 ^ Tick
- Stable Tick = Low Volatility.

5. Simulation Logic

The Analyzer assumes:

Initial Investment: $10,000 USD.
Strategy: Active Management (Auto-Rebalance).
Range: +/- 10% (Configurable in script).
Cost: 0.1% of capital per rebalance (Swap fee + Gas estimate).
Fee Accrual: You ONLY earn fees when the recorded tick is inside your virtual range.

Note: This is a "Paper Trading" simulation. Real-world slippage and exact execution timing may vary.

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