What Is a “Deviation Threshold” in Oracle Price Feeds?

A deviation threshold is a pre-set percentage change in an asset's price that must occur before the oracle is triggered to submit a new price update to the blockchain. For example, a 0.5% threshold means the price must move by at least that much from the last reported price.

This mechanism conserves gas fees by preventing unnecessary on-chain updates when the price is stable, while ensuring timely updates during high volatility.