Recent data from Skew shows that 84,000 Bitcoin options will expire on June 26th, with put option volumes growing faster than call options. Put options grant buyers the right to purchase an asset, while call options allow selling rights.
As the options market heats up, exchanges like OKEx continue innovating. The platform launched ETHUSD options on June 4th, complementing its existing BTC options products.
Key Concepts for New Options Traders
What Delta Value Means
Delta measures how an option's price changes relative to its underlying asset's price movement. This ratio helps approximate future option prices when predicting Bitcoin or Ethereum's spot prices.
OKEx simplifies analysis by displaying real-time Delta values. Notably:
- Traditional Delta shows price change per 1-unit asset movement
- OKEx's Delta reflects price change per 1% asset movement
👉 Master options trading with OKEx's advanced tools
Practical Delta Application Example
Let's examine Bitcoin scenarios:
- Current Price: $7,000
- Prediction: $7,700 in one month (+10% increase)
Call Option (Strike $6,500)
- Current Price: 0.0925 BTC
- Delta: 0.7
- Projected Price: 0.1625 BTC
Put Option (Strike $7,500)
- Current Price: 0.0785 BTC
- Delta: -0.76
- Projected Price: 0.0025 BTC
Important Delta Limitations
- Changes over time with market conditions
- Affected by BTC/ETH price fluctuations since OKEx options are BTC/ETH settled
- Only provides short-term approximations
While Delta helps beginners navigate option pricing, professional traders incorporate volatility surfaces since "options trading centers on volatility."
Why Choose OKEx for Options Trading?
- Real-time Delta visibility
- 1,000 ETH risk reserve for ETHUSD options
- User-friendly interface
Frequently Asked Questions
What's the difference between put and call options?
Put options give buying rights, while call options provide selling rights - both at predetermined prices before expiration.
How accurate are Delta-based price predictions?
They offer rough short-term estimates. Professional traders combine Delta with volatility analysis for precision.
Why does OKEx calculate Delta differently?
Using percentage-based (1%) movements rather than absolute values (1-unit) provides more intuitive pricing insights for crypto markets.
Can Delta values predict long-term option prices?
No. Delta constantly changes with time decay, volatility shifts, and underlying asset price movements.