I am a big believer in the crypto-currencies. I am a big believer that these currencies are going to go higher in a big way. Much higher. I am also a very realistic person in that during the journey higher for BTC and ETH, the currencies will not be heading higher in a straight line. Instead, there will be moments the currency goes up and down, but over a very, very long period of time will go higher.
So, given the concerns I had yesterday, and within the context of a move higher over a long period of time, I went long a "lottery ticket
last night. The option price is still below the break-even level. But, given more time and the momentum the market has, this will go. After that, if the momentum dies down, I can go long spot for .50 size ratio 2:1 option to spot. That way, if the market continues lower, my options cover my losses and I am profitable. If the market continues higher, the option goes out of the money, spot goes into the money.
Easy. Really.
So, given the concerns I had yesterday, and within the context of a move higher over a long period of time, I went long a "lottery ticket
last night. The option price is still below the break-even level. But, given more time and the momentum the market has, this will go. After that, if the momentum dies down, I can go long spot for .50 size ratio 2:1 option to spot. That way, if the market continues lower, my options cover my losses and I am profitable. If the market continues higher, the option goes out of the money, spot goes into the money.
Easy. Really.
