Investors in the iShares Bitcoin Trust ETF (IBIT) saw the commencement of new options trading today, specifically for contracts expiring on April 24. The notable put contract is set at a $40.00 strike price, currently with a bid of $2.59. Selling this contract may allow an investor to effectively purchase shares at a cost basis of $37.41, presenting a potential discount from today’s share price of $40.47.
On the call side, a $42.00 strike price call contract is trading at $2.69. If an investor buys shares at $40.47 and sells this call, the total return could reach 10.43% if the stock is called away at expiration. The call contract currently has a 51% chance of expiring worthless, allowing the investor to retain both shares and premium.
With an implied volatility of approximately 53% for the put and 52% for the call, the historical volatility for the last 251 trading days stands at 47%.
