What are the potential risks and rewards of rolling a losing call option in the cryptocurrency industry?
SRIRAM GOKULDec 26, 2021 · 3 years ago1 answers
What are the potential risks and rewards of extending or rolling over a losing call option in the cryptocurrency industry? How does this strategy work and what are the implications for investors?
1 answers
- Dec 26, 2021 · 3 years agoAt BYDFi, we believe that rolling over a losing call option in the cryptocurrency industry can be a strategic move for experienced investors. By extending the option, investors have the opportunity to potentially profit from a future price increase in the underlying cryptocurrency. However, it's important to carefully analyze the market conditions and the specific cryptocurrency in question. It's also crucial to consider the fees and expenses associated with rolling over the option. Overall, rolling over a losing call option can be a high-risk, high-reward strategy that requires careful consideration and analysis.
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