Similarly, it only needs to hold enough asset Y to cover price movement to its lower bound. Fig. 1 depicts this relationship for a position on a range [𝑝𝑎, 𝑝𝑏 ] and a current price 𝑝𝑐 ∈ [𝑝𝑎, 𝑝𝑏 ]. 𝑥real and 𝑦real denote the position’s real reserves. When the price exits a position’s range, the position’s liquidity is no longer active and lp no longer earns fees.