This simple Bitcoin options strategy lets traders profit while also hedging t...

This simple Bitcoin options strategy lets traders profit while also hedging t...

Not sure which way BTC price might go? Here’s how pro traders use the "iron condor" options strategy to place carefully hedged bets. For traders who are undecided on Bitcoin's (BTC) move, the "long condor with call options," or the "iron condor" options strategy, yields optimal results with very low risk. This strategy offers protection down to $53,500, which would be a 7% downside move from the current $57,600, and returns a positive outcome up to $67,500.Options markets provide more flexibility to develop custom strategies. Unlike futures, there are two separate instruments available.....


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Binary options and hedging

If you have at least a little experience in binary options trading, you know that sometimes you encounter situations when you have already opened positions, but the chart changes its trend suddenly and there is a danger of finishing "out-of-the-money". In such situations, experienced trades often use a strategy called "Hedging". Hedging occurs when you open two trades in one asset with the same time of expire but different directions. For example, if the first position is CALL, so second one will be PUT. The aim of hedging is to decrease the risk of losing and to increase the profits. To....

This bullish Bitcoin options strategy lets traders speculate on BTC price wit...

Hate being liquidated? Here’s how traders use the Long Butterfly options strategy to generate profits with less downside risk. Historical data shows that it is nearly impossible to consistently predict Bitcoin’s price action and many traders that attempt this end up losing money. Now that Bitcoin trades near $50,000, the ultimate goal for most traders is to hold on to their current holdings and incrementally add to them in a way that is not terribly risky. Options strategies provide excellent opportunities for traders who have a fixed-range target for an asset. For example, using leveraged....

Here’s how pro traders use Bitcoin options to profit even during a sideways m...

BTC price might be consolidating or even reaching a short-term top, but that doesn’t stop pro traders from using options to generate profits. Bitcoin (BTC) price swings might be impossible to predict, but there is a strategy frequently used by pro traders that yields high returns with minimal cost.Typically, retail traders rely on leveraged futures positions which are highly susceptible to forced liquidations. However, trading Bitcoin options provide excellent opportunities for investors aiming to maximize gains while limiting their losses. Using multiple call (buy) options can create a....

Pro traders may use this ‘risk averse’ Ethereum options strategy to play the ...

Ethereum's “Merge” upgrade is expected to induce volatility in ETH price, but options traders can safely remain long by using this strategy. Ether (ETH) is reaching a make-it or break-it point as the network moves away from proof-of-work (PoW) mining. Unfortunately, many novice traders tend to miss the mark when creating strategies to maximize gains on potential positive developments.For example, buying ETH derivatives contracts is a cheap and easy mechanism to maximize gains. The perpetual futures are often used to leverage positions, and one can easily increase profits five-fold.So why....

How relevant is the $900M open interest on Bitcoin options above $100K?

Pro traders have been buying ultra bullish Bitcoin $100,000 to $200,000 options, but how confident are they that these targets will be achieved? Bitcoin (BTC) is fast approaching its worst monthly performance in a decade, but some investors are using this as an opportunity to buy ultra-bullish long-term derivatives. There are currently over $900 million in call (buy) options aiming at $100,000 and higher, but what exactly are those investors seeking?Options instruments can be used for multiple strategies, which include hedging (protection) and also aiding those betting on specific....