An Options Trading is simply a trading option done with any securities on any stock or bond market or assets. Options Trading offers you the right and not obligation to buy or sell crypto assets at a specific price within a specified time or IceRiver KS2.
Thus , with the options (Contracts) any investor can buy/sell any underlying assets at a certain period of time at a certain price, which is termed as Options Trading. Options Trading can be quite complex than stock trading,since the options can make you larger profit when the price of the security goes high. Now, let you think about what an option means and what does an option contains ? This is the query rolling in and out of your head. Right ? Here is the explanation !What are Cryptocurrency Options ?
Options are nothing but derivative contracts that allows an investor or an individual to buy or sell any underlying asset such as security, crypto assets and, etc at a specified price over the mentioned time period. The Buying and Selling options are available on the options market, which makes trading of contracts/options based on the predefined securities.
The process of buying an option that allows you to buy shares/stocks at a specified time is known as “ Call Option“. The process of buying an option that allows you to sell shares/stocks at a specified period of time is known as “ Put Option”.Terms Related to Cryptocurrency Options Call Option : A contract that traders buy when they are confident about the cryptocurrencies future price.
Put Option : A Contract that allows traders to sell the cryptocurrency at the strike price even the current is lower. Trade Date : The date on which the option executed on the market, if the trader decides to exercise his option.Types of Options Trading What is Call Option ? A Call Option is a contract that allows the investor to buy a specific amount of shares of a specific security at a fixed profit price on a fixed date and time.
For Instant, A Call Option allows you to buy a certain share of any stocks or bonds or even Index at any specified time duration ( Before the Expiry of the Contract ). A trader or investor can buy a call opions when he predicts the price of a stock or commodity is about to rise in future, and he wish to buy the commodiies at a fixed profit price on a specific fixed ime. The fees that you pay for buying a call option is known as “Premium”. The premium of the call option is nothing but a strike price ( Which will be same until the contract expires ) that you agree to pay to seller.