# Bitcoin contract options hedging play several times

“One” Can I use Bitoffer options to hedge the liquidation of the contract?

It is theoretically possible, for example:

For example, if you are in The bitcoin price seen on “Hu Fu” is \$10,000. Suppose you open a long position with 20x leverage of 2,000 yuan and open a put option hedging (\$20) on BitOffer. When bitcoin falls by \$500, the decline is 5%. ; 20 times leverage, the contract is liquidated, and the loss is 2000 yuan; the profit of the put option is 500 US dollars, which is 3500 yuan; then the net profit is 3500-2000-140=1360 yuan.

How “two” bitoffer options and contracts hedge arbitrage

For example, the current price of Bitcoin is \$10,000

1. Suppose You use 10,000 yuan to open 20 times leverage to go long
2. At the same time, open 5 (4 hours) put option hedging on BitOffer (cost of \$250)

The first one, when Bitcoin rises 500 US dollars, that is, the increase is 5%

1. 20 times leverage to go long, the contract doubles, that is, 10,000 yuan.
2. The put option loses the principal, which is 250 US dollars (1750 Yuan)
3. 10000-1750=8250 Yuan (net profit)

Second, when Bitcoin drops by \$500, the drop is 5%

1. Long position with 20 times leverage, contract liquidation, loss of 10,000 yuan
2. Profit of 5 put options is 2,500 US dollars, which is 17,500 yuan
3. 17500-10000-1750=5750 yuan (net profit )

“Three” How to use bitcoin options to hedge contract risk

Guangdong Open University

“4” Bitcoin keeps falling and falling, how many times can I get a put option on Bitoffer

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Hello, about bitcoin options, the answer is as follows:

1. In the currency circle, it is not called options, the professional name is contract

2. You can make money if you are short. If you are short, you can make a profit by opening a short. The amount of profit is related to your leverage and margin.

3. Due to the large daily range of Bitcoin, it is still necessary to play contracts. It is easier to make money, of course, the premise is to grasp the direction of up or down.

Recommend an article for your reference

Bitcoin market analysis – no need to worry about whether it will rise or fall

Finally, I hope you can be in the currency circle The contract market achieves financial freedom

“Wu” how bitcoin contracts hedge risks

Why does this kind of question make me brush, This is not my specialty

『Lu』 In general, how many times can a bitcoin contract on a bitcoin exchange be done?

The delivery contract should be 40 times, right? 100 times.

『柒』How BitOffer Option Hedges Contract Risk

For example, the current price of Bitcoin is \$10,000

1. Suppose you Use 2000 yuan to open 20 times leverage to go long The increase is 5%

1. Long position with 20 times leverage, 100% profit, which is 2000 yuan
2. The put option loses the principal, which is 20 US dollars (140 yuan)
3. 2000-140=1860 yuan (net profit)

✅The second type, when Bitcoin drops by \$500, it will drop by 5%

1, 20 times Long leverage, the contract is liquidated, and the loss is 2000 yuan
2. The put option makes a profit of 500 US dollars, which is 3500 yuan
3. 3500-2000-140=1360 yuan (net profit)

『渌』How to not lose money in bitcoin contracts

Any investment risks and benefits.�� is co-existing, if you don’t want risk, naturally there is no benefit.

『鎖』How many times can a bitcoin contract be done at the most

How many times can a bitcoin contract be made at the highest? In fact, Bitcoin is explicitly prohibited from trading in my country. Bitcoin is a virtual currency on the Internet. There are many buyers and sellers in the world hyping it. If you like to sell Bitcoin, it may cause your family to go bankrupt.

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