Key Takeaways An option is a contract giving the buyer the right—but not the obligation—to buy (in the case of a call) or sell (in the case of a put) the underlying asset at a specific price on or ...

As such, exercising an in-the-money call option would allow the trader to buy shares at a discount to the current market ...

Put options are a type of option that increases in value as a stock falls. A put allows the owner to lock in a predetermined price to sell a specific stock, while put sellers agree to buy the stock at ...

What is a call option, anyway? A call option gives the buyer the right but not the obligation to purchase an asset (in this case, Bitcoin) at a predetermined price before a specific date. If the ...