Earning a living from cyptocurrency options trading

[AlgoSwan]

In this thread, I'll explain BTC and ETH options trading for a living. Sometimes I'll post my realtime trades in order to give readers a better understanding of my winning strategy.

I'm using BTC-e for my all BTC and ETH trades and I'm using Etheropt for my all options trades.

Ok, lets start with some basics:

Traders/investors often use option contracts to decrease the risk associated with BTC or ETH. Suppose you own 100 ETH and want to protect yourself against a significant drop in value. Wouldn't it be nice to have someone else contractually promise to buy those cryptocurrencies from you for a guaranteed amount no matter what, even if the price fell to zero? That person will want a reasonable fee for providing that assurance, of course. As with fire or auto insurance, you hope never to file a claim. But if loss did occur because a house collapsed (or cryptocurrency ETH or BTC plummeted), financial disaster can be averted or substantially mitigated, depending on the terms of the policy and extent of the coverage elected. In this situation, an option contract is the exact analog of an insurance policy.

Another reason BTC or ETH traders/investors use options is to control a large amount of ETH or BTC without having to buy or own it. Suppose a trader feels that BTC is about to rise significantly in price. Wouldn't it be nice to pay a current owner of that cryptocurrency a reasonable fee for the right to purchase his or her BTC at a mutually agreed on price within a certain period?

I will post my realtime trades soon.

[AlgoSwan]

Still options are so expensive in Etheropt exchange, I'm waiting for better pricing. And some expirations are so close, I like longer expirations which means I will have more time to make profits and apply proper hedging strategies (risk management) on my existing positions.

[newcoins1978]

Still options are so expensive in Etheropt exchange, I'm waiting for better pricing. And some expirations are so close, I like longer expirations which means I will have more time to make profits and apply proper hedging strategies (risk management) on my existing positions.

It is a hard to thing try and make a living out of cryptocurrencies only because that means that you will have to handle in allot of them to make enough money to be able to pay for everything that you need to pay.
For me it would not be possible that is why I use it as an secondary income.

[Doamader]

This is only possible for people with something like 20btc and exchanging all days to get enought profit to make a live from those, the others people with 1 btc and 5 btc cant live from this, its insane to even try it, they can get an income but not enought.

[ashkanb]

i'll be following this thread closely , js;
i wasn't even familiar with the concept & because of this post now i'm all over the place reading what it is;
thanks in advance op for the hopefully super useful info you'll be posting here;

This is only possible for people with something like 20btc -snip-

i guess its a matter of perspective, i can totally make it work with 4,5 btc initial investment!
cryptos is a vast market & trading is not the only thing you can do with 4,5 btc worth of assets!

[romero121]

This is only possible for people with something like 20btc and exchanging all days to get enought profit to make a live from those, the others people with 1 btc and 5 btc cant live from this, its insane to even try it, they can get an income but not enought.

As quoted its true that an good initial investment is required to have a better living with bitcoin. Just with a small investment users can only fulfil a part of their basic needs.

[tyz]

I personally have a lot of experience with options trading. In fiat and in Bitcoin. It is not that easy to make profit as the opening post states.
In contrary, the chance is high to lose your entire capital.

[Doamader]

I personally have a lot of experience with options trading. In fiat and in Bitcoin. It is not that easy to make profit as the opening post states.
In contrary, the chance is high to lose your entire capital.

Well the strategy has always two sides, but at trading i believe you can loose a portion of your coins and not loose all atleast not at once, what happens with others gamblings ways, as casinos. I had tryed to profit from trade and i my funds went down around 0,13btc soo, if it were easy all would be doing it.

[groll]

Options trading are beneficial way to use in actual trading. But I am not in this line since as a trader , though I am a small time, options trading is costly. I prefer traditional trading without having to deal with some options. Just normal trading will do. Doing it normally I am earning though small but I am comfortable in this way. But to experience traders it may be very useful to use options.

[AlgoSwan]

I personally have a lot of experience with options trading. In fiat and in Bitcoin. It is not that easy to make profit as the opening post states.
In contrary, the chance is high to lose your entire capital.

Can you share your experience with options trading?

[blackmachinegun]

Still options are so expensive in Etheropt exchange, I'm waiting for better pricing. And some expirations are so close, I like longer expirations which means I will have more time to make profits and apply proper hedging strategies (risk management) on my existing positions.

yeah I think you need more experience of life and work in bitcoin before you work full time and live in bitcoin I think you should
know bitcoin further before you living in bitcoin. I think the capital is very important for you to survive in bitcoin

[talks_cheep]

i'll be following this thread closely , js;
i wasn't even familiar with the concept & because of this post now i'm all over the place reading what it is;
thanks in advance op for the hopefully super useful info you'll be posting here;

This is only possible for people with something like 20btc -snip-

i guess its a matter of perspective, i can totally make it work with 4,5 btc initial investment!
cryptos is a vast market & trading is not the only thing you can do with 4,5 btc worth of assets!

Your chance of becoming successful at it is almost zero. I can guarantee you, you will lose your initial investment. I've been here long enough to have seen so many noobs fail and lose their shirts. Some of these losers had extensive experiences in trading other assets. Cryptocurrency does not behave like other more established assets and currencies. You have better luck at gambling than trading.

[Dudeperfect]

I haven’t tried option trading yet but it seems interesting and yes if we have right strategy, enough capital and emotionless attitude then earning for a living is possible with trading. I made some profits with option trading in stocks but I have never tried it in crypto trading but soon I am going to start option trading. I think I should start with bitcoin and then to shift on other alt coins, what do you say?

[sbtctalk]

Let's say your monthly salary is US$2,000. I believe the progression towards full time trading with BTC has to be progressive, perhaps from a part time basis, using 2 hours per day, and see how much can you earn after one month.

[AlgoSwan]

I haven’t tried option trading yet but it seems interesting and yes if we have right strategy, enough capital and emotionless attitude then earning for a living is possible with trading. I made some profits with option trading in stocks but I have never tried it in crypto trading but soon I am going to start option trading. I think I should start with bitcoin and then to shift on other alt coins, what do you say?

You made some profits with options trading in stocks with which strategy? (spreads, or...?) Whatever strategy you succeed in stocks can be easily applied on cryptocurrency options. The trick is you should stay away from bucket shops (aka centralized binary options platforms), and stick with decentralized options platforms.

[ayesha sadiqa]

This is only possible for people with something like 20btc and exchanging all days to get enought profit to make a live from those, the others people with 1 btc and 5 btc cant live from this, its insane to even try it, they can get an income but not enought.

As quoted its true that an good initial investment is required to have a better living with bitcoin. Just with a small investment users can only fulfil a part of their basic needs.

i even not believe on bitcoin for living if i invest a good amount of money, bitcoin is not so stable yet and not yet so trusted to believe on it for living although there is no doubt about this that bitcoin is very very helpful to me in economic assistant but not so mature to depend on it for living.

[bitjoin]

Still options are so expensive in Etheropt exchange, I'm waiting for better pricing. And some expirations are so close, I like longer expirations which means I will have more time to make profits and apply proper hedging strategies (risk management) on my existing positions.

It is a hard to thing try and make a living out of cryptocurrencies only because that means that you will have to handle in allot of them to make enough money to be able to pay for everything that you need to pay.
For me it would not be possible that is why I use it as an secondary income.

The hardest thing is probably the lifestyle and then #2 would be actual skill to trade profitably. 

You have to spend huge amount of time in front of screen, you think about trades while you are socializing/doing other things.  It gets harder the older you get.  Thats my thoughts.

[Digitalbitcoin]

Ya its can give smart residual income in form of digital currency. Which can be exchanged to bitcoin. And Bitcoin can be exchanged to fit currency. Everything goes very smooth and fast, than traditional methods.

So concentrating on altcoin exchange can give certainly good ROI.

[rphk]

as I know option trading is not so easy , normal basic trading is good , and also earning living with option trading is requires more amount of investment . with small amount of bitcoin it s difficult to earning a living with bitcoin , that will useful for pocket money .

[senyorito123]

This is only possible for people with something like 20btc and exchanging all days to get enought profit to make a live from those, the others people with 1 btc and 5 btc cant live from this, its insane to even try it, they can get an income but not enought.

As quoted its true that an good initial investment is required to have a better living with bitcoin. Just with a small investment users can only fulfil a part of their basic needs.

i even not believe on bitcoin for living if i invest a good amount of money, bitcoin is not so stable yet and not yet so trusted to believe on it for living although there is no doubt about this that bitcoin is very very helpful to me in economic assistant but not so mature to depend on it for living.

you can actually earn a living with bitcoin if you are good enough to do some various works wich pays you huge btc salary but if you are just relying on trading and wait for flactuation well theres no way  really that you can earn a living with coin,  tradings needs time some time to earn and flactuations are not really happening instantly thats why the earnings on that platform are unstable and thats the reason why we cant rely on this to earn a living.