Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
For anyone considering selling covered calls, just keep in mind this could be a very expensive decision
There is an outside chance that Bitcoin could go to crazy number this year. A $3.5k payment for giving away all the upside on a $200k sale in December 21 may not be a very good deal at all. It’s only a good deal if you are happy selling at $200k no matter what. Because the price could be $500k at that time. In that scenario, you just lost $296.5k in value.
There is an outside chance that Bitcoin could go to crazy number this year. A $3.5k payment for giving away all the upside on a $200k sale in December 21 may not be a very good deal at all. It’s only a good deal if you are happy selling at $200k no matter what. Because the price could be $500k at that time. In that scenario, you just lost $296.5k in value.
Of course, but could be a good idea if you are buying a ranch and need another mil or so
.Instead of selling, collect premium on 75-100K Dec. In the worst case-you sold at that 75 or 100 PLUS premium.
Still better than selling at 50ish.