Post
Topic
Board Trading Discussion
Re: Bitcoin Options ?
by
mysidia
on 09/06/2014, 06:29:25 UTC
I would be interested in buying 1 CALL contract (covering 100 BTC) at DEC 31 2014 expiry with strike price $500.
Accepting offers.

A CALL for that amount expiring today would have approximately 100 * (650-500) = $15,000 in intrinsic value.    Add 205 days of time value premium, where historically the underlier has ranged from $400 to $1000 over a similar period of time, a standard deviation of ~50% of log returns.
 
And we can estimate that today this Call option is worth a total of approximately $60,000,   but  any writer in their correct mind,  would  need to add on a charge of 5 to 10%,  in order to expect a profit.