What strategies should I consider when selling cash secured puts with digital currencies?

3 answers

• Sr DarkJan 02, 2021 · 5 years ago
  When selling cash secured puts with digital currencies, it's important to consider the current market conditions. Look for digital currencies that have a strong track record and are likely to maintain their value. Additionally, consider setting a strike price that is below the current market price to increase the likelihood of the option being exercised. Finally, make sure to have enough cash on hand to cover the potential purchase of the digital currency if the option is exercised.
  487

  244
• Muzammil ZiaDec 25, 2023 · 2 years ago
  One strategy to consider when selling cash secured puts with digital currencies is to diversify your portfolio. Instead of focusing on a single digital currency, consider selling puts on multiple currencies. This can help spread out the risk and increase the chances of generating a profit. Additionally, make sure to do thorough research on each currency before selling puts to ensure you have a good understanding of its potential risks and rewards.
  451

  151
• Abdul KhaliqApr 07, 2024 · 2 years ago
  When it comes to selling cash secured puts with digital currencies, BYDFi recommends taking a conservative approach. It's important to carefully analyze the market and choose digital currencies that have a strong track record and are likely to maintain their value. Additionally, consider setting a strike price that provides a reasonable margin of safety. By following these strategies, you can minimize risk and increase the chances of generating a profit.
  458

  115