ETH LP Decision Algorithm v3.4

Enter today's live market data

Sections marked ⬤ Live — update every session before trading. ⬤ Daily — update once per day. ⬤ Stable — set once, rarely changes.

Before Your First Trade — One-Time Setup

1.Open a tastytrade account (for hedging)

Go to tastytrade.com → open individual brokerage account → enable futures trading. Fund with $15,000–$20,000 as margin buffer for hedging $100K. You'll use this to sell CME micro-ETH futures contracts (each = 0.1 ETH) to protect against price drops.

2.Set up MetaMask wallet (to connect to Uniswap)

Go to metamask.io → install browser extension → create new wallet → write your seed phrase on paper and store it offline (never digitally). Fund with USDC from Coinbase or your exchange. This wallet connects directly to Uniswap where you'll mint LP positions.

3.Create a free TradingView account

Go to tradingview.com → sign up free → open a new chart → search ETHUSD.

Add two indicators by clicking the Indicators button at the top:
• Search VWAP → add it → you'll see a moving line on your chart
• Search ATR → add Average True Range → set length to 14, set the chart timeframe to 1H

Free tier gives you 3 price alerts — you need 1 per open position (set at your lower band price).

4.Bookmark these 4 URLs — you'll open them every session

A. TradingView chart — tradingview.com/chart (ETH 1h with VWAP + ATR-14)
B. Coinglass liquidation heatmap — coinglass.com/pro/futures/LiquidationHeatMap
C. Uniswap V3 ETH/USDC 0.05% pool — app.uniswap.org/explore/pools/ethereum/0x88e6A0c2dDD26FEEb64F039a2c41296FcB3f5640
D. Uniswap Analytics pool stats — info.uniswap.org/pools/0x88e6A0c2dDD26FEEb64F039a2c41296FcB3f5640

Every Session — Pull These 9 Numbers First (5–10 min)

Important: The numbers shown in the algorithm when you first open it are reference examples from Matt's March 16 demo session only. They are not current market data and are at least one day old. Always enter fresh data from the sources listed below before making any trading decisions. The Decision Output tab shows a warning banner until you confirm your data is current.

① ②Spot Price + VWAP → from TradingView

Open your TradingView ETH 1H chart. The price shown in the top-left corner is your Spot Price. The VWAP line currently on your chart — hover over it to see its exact value — is your VWAP.
Enter both in Market Inputs → Section 1 (Price & VWAP).

③LP Midpoint → from Uniswap tick chart

Open bookmark C (Uniswap pool page). Scroll down to the bar chart showing where LP capital is concentrated. Find the price with the tallest bar — that's where most LP liquidity sits. Enter that price.
If unclear, use the current pool price shown at the top of the page as an approximation.
Enter in Market Inputs → Section 1, third field.

④ATR-14 → from TradingView (in dollars)

Look at the bottom panel of your TradingView chart — the ATR indicator shows a number like 35.42. This means ETH moves ~$35 per hour on average. Enter that dollar value (not a percentage).
Enter in Market Inputs → Section 5 (Volatility). Typical range: $15–$60.

⑤ ⑥ ⑦ ⑧ ⑨Liquidation Zones → from Coinglass

Open bookmark B (Coinglass Liquidation Heatmap). Select ETH and set view to 12h or 24h. You'll see a heatmap with colored clusters.

• The 3 brightest clusters BELOW current price = Long Liquidation Zones (enter in Section 2)
• The 3 brightest clusters ABOVE current price = Short Liquidation Zones (enter in Section 3)

Read the price level from the left axis for each cluster. Enter nearest cluster first.

+Pool Data → from Uniswap Analytics (once per session)

Open bookmark D (Uniswap Analytics). Find the ETH/USDC 0.05% and 0.30% pool rows. For each, note:
• TVL: e.g. "$20.4M" → enter 20.4 (in millions)
• 24h Fees: e.g. "$2,700" → enter 2700 (in dollars)
• APR: e.g. "45%" → enter 45. If not shown: (24h fees ÷ TVL) × 365 × 100
Enter in Market Inputs → Section 8 (Pool Data).

Go / No-Go Checklist — Check Decision Output Before Trading

✓

Signal banner says ENTER or ENTER (BREAKOUT CONFIRMED)

If it says WAIT, SIT OUT, or DANGER ZONE — stop. Do not trade. Conditions must improve first.

✓

Corridor position is under 80% — labeled green or amber

Red (>80%) means you're near the top of the liquidity corridor — the real danger zone. Minting here traps your band too high. Wait for price to pull back to mid-corridor.

✓

Mint Gate shows under $25 (ideally under $10)

This is the gap between Spot and VWAP. Under $10 = ideal, price is at equilibrium. $10–$25 = acceptable but stretched. Over $25 = wait for price to revert to VWAP.

✓

Note your scenario — Scenario 1 (Breakout) or Scenario 2 (Pullback)

The entry scenario cards show the exact band, entry price, and fee tier to use. This is your trading plan for the cycle.

Execution — Step by Step Once You Have a Green Signal

A.Buy ETH in the Swap Zone (not at spot)

The algorithm shows a Swap Zone (e.g. "$2,298–$2,305"). This is where to buy ETH with USDC — not at current spot price. Go to app.uniswap.org → Swap. Select USDC → ETH. For a $100K position, swap ~$50K worth. Use a limit order if price is above the zone, or execute at market if already in zone.

Never swap at the top of a round-number breakout — e.g. if ETH just broke $2,400, don't swap at $2,400. Wait for it to dip to the swap zone.

B.Mint your LP position on Uniswap

Go to app.uniswap.org → Pool → New Position. Select ETH / USDC pair → choose the fee tier shown in the algorithm (0.05% for range market, 0.30% for trend market).

Set Min Price = Lower Band from the algorithm.
Set Max Price = Upper Band from the algorithm.

Enter the ETH and USDC amounts — Uniswap calculates the ratio automatically. Click Preview → Add → confirm in MetaMask. Gas fee ~$2–4.

C.Set your TradingView alert immediately after minting

On TradingView: right-click at the Lower Band price on your chart → Add Alert → set condition to "price crosses down through [your lower band]". Enable email + phone push notifications.
This is your hedge trigger. When it fires you have ~60 seconds to execute your futures hedge.

D.Pre-stage your hedge on tastytrade (don't submit yet)

Open tastytrade → search micro-ETH futures → open a SELL order ticket. The algorithm shows your hedge % and the exact number of contracts. Fill in the quantity but do not submit — just have it staged and ready.
When your TradingView alert fires → switch to tastytrade → hit Review → Send. Done in under 30 seconds.

E.Monitor and close when out of range or fee target hit

If ETH runs above Upper Band: you've sold all ETH into USDC. Go to Uniswap → Pool → your position → Remove Liquidity 100%. Collect fees + USDC. Re-evaluate and re-enter.

If lower band alert fires: execute your pre-staged hedge on tastytrade first. Then decide: if further drop looks likely, remove LP too. If it bounces, your hedge captured the downside.

Target: 6 cycles/day at 0.125% per cycle = 75 bps/day gross. Don't force 6 if conditions don't warrant it. "Any day you book a profit is a good day — don't get greedy." — Matt

Accounts You Need — All Free to Open

Platform	Used For	URL	Cost
TradingView	Spot, VWAP, ATR-14, alerts	tradingview.com	Free (3 alerts)
Coinglass	Liquidation heatmap — liq zone inputs	coinglass.com	Free
Uniswap App	LP minting + token swaps	app.uniswap.org	Gas ~$2–4/tx
Uniswap Analytics	24h fees, TVL, APR by tier	info.uniswap.org	Free
tastytrade	CME micro-ETH futures hedging	tastytrade.com	Free account
MetaMask	Hot wallet → connects to Uniswap	metamask.io	Free

Glossary of Terms