Bitcoin’s Options Market Has Overtaken Its Futures Market in a Sign of Growing Sophistication

Traditionally, options are used to mitigate risk, although some speculators use them like futures to amplify returns. Bulls typically buy puts to protect against a potential downside, while bears use call options to protect from a sudden upswing in prices. Efficient use of options is contingent on a thorough understanding of key metrics, the so-called Greeks – delta, gamma, theta and rho, that affect the price of an options contract.

Original Source: https://www.coindesk.com/markets/2023/11/15/bitcoins-options-market-has-overtaken-its-futures-market/?utm_medium=referral&utm_source=rss&utm_campaign=headlines