Quant Firm TDX Strategies Recommends Bullish Bitcoin Options Trade

Hong Kong quantitative trading firm TDX Strategies uses derivatives to capitalize on volatility in digital assets. Its proposed bullish risk-reversal strategy involves selling out-of-the-money Bitcoin puts and using the premiums to fund purchases of out-of-the-money calls. This creates net long exposure at a lower upfront cost, though investors could still face losses from having to buy at the strike price if Bitcoin plunges.

TDX Strategies recently recommended that investors use Bitcoin options expiring from March to April to build bullish positions around market volatility triggered by geopolitical events. The trade does not involve directly investing a fixed amount in Bitcoin; instead, proceeds from the puts finance the cost of the calls. A Bitcoin rally could amplify returns, while a drop below the put strike price would expose investors to downside risk.