10x Research Dey Back Bitcoin Short Strangle for Short-Term Calm
10x Research don recommend Bitcoin short strangle strategy for September expiry, dem dey show say market fit calm small for near future. Bitcoin short strangle na when person sell out-of-the-money call and put options wey get strike prices at $125,000 and $95,000 to collect premiums. According to Markus Thielen, dis strategy dey take advantage of high implied volatility and market wey no go move anyhow. Bitcoin dey trade around $113,000 now, the research team expect say price go stay between $95,000 and $125,000. The implied volatility curve wey dey higher pass the real volatility dey show say options dey overpriced, so short strangle strategy make sense. If Bitcoin remain for the range, dis premium collecting way fit give returns, just like August short strangle wey make 3.5% yield. But dis strategy get risk: if volatility spike suddenly, e fit cause big losses. Traders must watch options greeks and market signs well to manage exposure. The report show neutral view and low volatility forecast for Bitcoin, e dey guide options traders make dem do conservative, income-focused trade.
Neutral
Di 10x Research rekomendation wey dey suggest make person do Bitcoin short strangle mean say market no too rise nor fall. To sell out-of-the-money calls and puts mean say traders dey expect say price no go move well well, no be to dey bullish or bearish. Dem dey trust say implied volatility pass the real one, e show say market go dey stable small time. Another short strangle wey dem do for August bring 3.5% gain without bias. Dis kind strategy fit give better premium but e get risk say sudden volatility fit rise, so na cautious approach dem dey take, no be to dey fully bullish or bearish. For short time, traders fit like trades wey go bring income and low volatility. But long term, any sudden macro wahala fit shake market. Overall, report talk say market go calm and premium collection dey steady, wey mean say e get neutral effect on Bitcoin trading.