Week #12 Ethereum Options Trading Results (+0.0174 ETH)

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Last week, all of our iron condors on Ethereum expired worthless, meaning that we were able to keep the entire premium received from selling the options.

At the end of the week, the total value of our crypto portfolio was worth $1,600.48, which is just shy of 16% of our $10,000 goal. 

Unfortunately, the total dollar value of the portfolio decreased as the price of Ethereum slid from the higher 1600s back to the middle 1550s.

Ethereum price March 4, 2023
Ethereum price March 4, 2023

Iron condors are a popular options trading strategy that involves selling both a call option and a put option at different strike prices, with the goal of profiting from a stable or neutral market.

  • When constructing our trades I try to go for a delta of less than 0.2 and -0.2
  • For this week we were holding 3 iron condors with the following strike prices: 1700/1800  1500/1400

In this case, our iron condors on Ethereum expired worthless, which means that the price of Ethereum remained within the range of our chosen strike prices.

While we were able to keep the entire premium from selling the options, the decrease in the value of Ethereum meant that the total value of the fund decreased as well. This underscores the importance of closely monitoring market conditions and being prepared for the potential downside risks associated with options trading.

Despite this setback, we remain committed to our trading strategy and confident in our ability to generate profits over the long term. By continuing to analyze market trends, adjust our trading strategies as needed, and maintain a disciplined approach to risk management, we are well-positioned to navigate the ups and downs of the crypto market and achieve our goals.

On Friday, March 3, 2023, we opened additional 3 iron condors with March 10 expiry with the following strike prices: 

  • call side: 1700/1850
  • put side: 1450/1300

the total premium received: 0.0174 ETH (27.22 USD)

To keep the max profit, ETH should stay between 1,700 and 1,450. In case of a challenged trade we will try to adjust the trade by rolling up or down the challenged side)

While there are certain risks and challenges involved in trading options with cryptocurrencies, I believe that with the right strategies, tools, and mindset, it's possible to achieve success in this exciting and rapidly-evolving field.

I'm currently working on developing a course on options trading with cryptocurrency, which will cover the basics of options trading, as well as more advanced strategies and tactics for maximizing profits and minimizing risk.

Whether you're a seasoned trader looking to expand your knowledge and skills or a newcomer to the field, I believe that this course will provide valuable insights and practical tips for success.