The table above shows the volatility of the top pools, with stable pairs being the least volatile, therefore safest but generates a lower yield compared to a highly volatile pair such as UNI-WETH

In conclusion, liquidity, volume and TVL are a few ways to better visualise LP better in order to understand the risks and rewards associated with each pool. These info can be found on the uniswap website https://v3.info.uniswap.org/home#/

Narrowing it down to the weekly top 5 pools, there will be instances whereby altcoins would rank among the top 5, take MM-WETH and AXS-WETH as an example.

The graph above shows the top 30 LP pools on Uniswap v3 by liquidity, with over $250m in liquidity for USDC-WETH LP alone. We can see that the top LP are mainly stable pairs or wrapped BTC/ETH paired with a stablecoin (liquidity $100m and above), followed by some popular altcoins (liquidity below $50m)

There are many risks and rewards associated with liquidity pools and it's important to understand when to provide and when to withdraw. There are several factors that can help us visualise this better.