> ## Documentation Index
> Fetch the complete documentation index at: https://docs.range.fun/llms.txt
> Use this file to discover all available pages before exploring further.

# Ranges

> Understand price bounds, changing token balances, and what happens outside your range.

A range sets the lower and upper prices where your liquidity participates in trading. A narrower range concentrates your deposit; a wider one covers more prices.

While the pool price is inside your range, your position earns swap fees and its token mix changes as trades move the price. See Uniswap's [liquidity overview](https://developers.uniswap.org/docs/liquidity/overview).

## Read the range in the right units

The position form shows bounds as **Min Market Cap** and **Max Market Cap**: price multiplied by supply. Market cap is not the money held in the pool. The pool itself stores bounds as **ticks**, the discrete price steps where liquidity can be placed.

## What happens as price moves

Take a range from 0.80 to 1.20 quote tokens per EXAMPLE.

| Pool price       | Principal held by a standard position |
| ---------------- | ------------------------------------- |
| Below 0.80       | EXAMPLE only.                         |
| Inside the range | A mix of EXAMPLE and the quote token. |
| Above 1.20       | The quote token only.                 |

Outside the range, the position stops earning swap fees until price returns. It stays open and keeps its assets. Earned fees are separate from principal. See Uniswap on [out-of-range liquidity](https://support.uniswap.org/hc/en-us/articles/32514988932877-What-does-out-of-range-liquidity-mean).

## Choose a starting point

| Preset     | Placement                                                    |
| ---------- | ------------------------------------------------------------ |
| **Narrow** | A smaller interval around the current price.                 |
| **Wide**   | A larger interval around the current price.                  |
| **Below**  | Below the current price.                                     |
| **Above**  | Above the current price.                                     |
| **Full**   | The pool's full usable price range, in **Single** mode only. |

Presets are starting points. The pool's tick spacing adjusts the exact bounds, so review them after choosing one.

Concentration trades earning power against how far price can move before the position leaves its range. For V4 pools, a [hook](/reference/pools-and-hooks) can add rules beyond this model.

Next, learn about [earning fees](/learn/fees) or [create multiple positions](/guides/multiple-positions).