Long Calls (Buying Calls)
Buying a call option from the trade page results in long calls.
An ideal strategy if you are bullish about a crypto asset and want to leverage the rising prices.
Example: Suppose you have $30,000, and ETH is currently trading at $5,000. You can buy 6 ETH at the current price. Let's suppose by the end of next month ETH is up by 15%, i.e., ETH price now is $5750, then you make a profit of $4,500 ( $34,500 - $30,000). An excellent trade indeed ser.
Now let's use options; in this case, instead of buying ETH calls at $5,000 expiring at the same time, you paid $300 per option. You can get 100 options for this price. Ignore all trading fees; this means with a 15% increase, you get $45,000 as profit. Which is 10x the profit you would have made otherwise. Such a degen you are ser.
Total Investment
Current Stock Value
Strike Price Value
Options Status
In The Money
Total Profit
Your max loss when buying long calls is always the premium you paid - when the asset price is below the strike at expiry. Your max profit is theoretically infinite.
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