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....
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Risk-averse traders who believe Ethereum is in a bull trend often use the Iron Condor options strategy to limit their downside risk. Ether (ETH) has been making higher lows throughout 2021, and the current trend indicates that $1,800 might be the bottom for April. Even traders and investors who do not rely on technicals have become optimists after Visa initiated a pilot to settle transactions in USD Coin (USDC) through the Ethereum network.Ether price in USD at Coinbase. Source: TradingViewGiven that Ether's price is looking like it's ready to pursue new yearly highs, there's a few....
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....
Ethereum Foundation members expect “the merge” to happen before year-end and savvy options traders will profit using this options strategy. Ethereum's long-awaited transition away from proof-of-work (PoW) mining has recently suffered another delay and is expected to occur in the second half of 2022.Ethereum developer Tim Beiko stated on April 13 that "it won't be June, but likely in the few months after. No firm date yet, but we're definitely in the final chapter of PoW on Ethereum."An automated increase in mining difficulty designed to make PoW mining less attractive is set to become....
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.....
The Long Condor options strategy allows traders to place bullish bets without taking on liquidation risks. Long-dated Bitcoin options and bulls still make waves with their ultra bullish bets, but even they must admit that the possibility of (BTC) trading above $60,000 in the next couple of months is dim. Many traders have added leveraged-long positions via futures contracts to chase after the elusive all-time high, but this seems like an unrealistic outcome. According to Willy Woo, a popular on-chain analyst, exchange outflows and accumulation from BTC miners and whales suggest that....