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Ep. 365 - Trading 101 with Avi Felman from Blocktower

CRYPTO 101

CHAPTER

What Happens When Market Makers Short a Call?

For every dollar that bitcoin goes up, how much does the value of that call go up? If market makers are short coals, and bi bitcoin is going up, what happens when a call gets more and more in the money? So let's say you have a 50 thousand dollar call, and bitcoin goes from forty eight thousand thousand. Your deltas are going up. Up. And so that means that they're actually getting on. They're geting shorter. Bick coined, because they're getting even shorter,. big coind as the call, you know, gets more and less in the money. That has occurred aof times in the history bi coinand causes like a

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