Can Bitcoin options be sold before they expire (deribit Bitcoin options)

What is the definition of Bitcoin options, in a simple way

Today I will give you some popular science, what are Bitcoin options?

For example, when you go to buy a house, the developer will ask you to pay a deposit to qualify for a discounted price

At that time, if the house price falls, you can choose not to buy it, and you will lose the deposit at most

But if When house prices rise, you earn the difference. This is an option, and the deposit is the premium in the option. So, how to play Bitcoin options?

Take BitOffer’s world-first Bitcoin options as an example

For example, the current price of Bitcoin is US$10,000, and you think it will rise in the next week

So, you buy a 7-day call option for US$100 Royalty

After 7 days, Bitcoin rises to 12,000 US dollars. At maturity settlement, you earn 2,000 US dollars.

If 7 days later, Bitcoin drops to 8,000 US dollars, then you only lose 100 US dollars in premium.

This is an option The benefits of "unlimited returns, limited risks"

Does anyone know what Bitcoin options are? Can you give me some knowledge?

This is not difficult to understand. For example, when you buy a house, the developer will ask You pay some deposit

to qualify for buying a house at a preferential price. At that time, if the house price falls, you can choose not to buy it, and the most you will lose is the deposit

But if the house price rises, you will earn the difference. This is the option, and the deposit is The premium in an option.

So, what is the situation with Bitcoin options? Take Bitoc's world-leading Bitcoin options as an example

For example, the current price of Bitcoin is 10,000 US dollars, and you think it will rise in the next 15 minutes

So, you buy a 15-minute call option with a ≥1% return rate of 600% Options, costing 100 US dollars in premium

After 15 minutes, Bitcoin rises to 10,500 US dollars, and upon expiration settlement, you earn 600 US dollars

If 15 minutes later, Bitcoin falls to 9,500 US dollars, then you only lose 100 US dollars It’s just the premium

How much does a Bitcoin option seller earn on an annualized basis?

(BTC) options expiring on March 26th could become the largest option ever, with open interest of $6.1 billion. With less than 4 days before the settlement date, professional investors will already be formulating their strategies for the next month.



Bitcoin price at Coinbase, USD.

With BTC price already surging 72.7% since February, most traders are skeptical of another rise in the coming weeks. Nonetheless, the support at $55,000 has shown strength and suggests that the uptrend is intact.

Whales and arbitrage desks are somewhat optimistic, as evidenced by futures contract premiums and long-short ratios among top traders. Relative to mid-March, when futures contango reached an annualized level of 35%, this stimulus appears to be more restrained.



OKEx 3 Months Future Contract Basis

Option strategy does not face liquidation before expiration

Option strategy provides excellent opportunities for traders with fixed asset targets. Although a stop loss reduces the feasibility of the trade, using leveraged futures contracts also allows traders to take advantage of the position.

On the other hand, traders can use multiple put (sell) options to create a slightly bullish strategy. The put's upfront spread allows for gains without any upfront costs other than the margin requirements for negative price movements. The same pattern can be used in both bullish and bearish situations, depending on the investor's expectations.

It’s important to remember that options have a set expiry date. Therefore, price increases must occur within a defined period.

The following Bitcoin calendar options are for the April 30th expiry, but the strategy can also be used with Ethereum (ETH) options or other timeframes. Although the cost will vary, its overall efficiency should not be affected.

How to operate Bitcoin options

What are Bitcoin options?

The so-called Bitcoin options are to predict the future rise and fall of Bitcoin. In operation, if the price is expected to be bullish, then buy the price, and if the price is expected to be bearish, buy the price. The profit calculation is the same as that of spot prices. When buying up, you will earn as much as the price rises during the cycle. When buying down, you will earn as much as the price falls during the cycle. In short, it is to use a very small principal to bet on the rise and fall of the future range, so as to obtain high returns.

How to play Bitcoin options with BitOffer?

For example, the current price of Bitcoin is 10,000 US dollars, and you think it will rise in the next hour, so you open a 1-hour call option at a cost of 20 USDT. Sure enough, as expected, Bitcoin increased by 1,000 US dollars in 1 hour, and the system automatically settled after 1 hour expired. You received a return of 1,000 US dollars, which is equivalent to a return of 50 times the principal.

If Bitcoin falls in the next hour, you will lose the 20 USDT option principal invested. This is the benefit of options with "unlimited returns and limited risks".

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