BTC Call Butterfly for a Rebound Toward $73,000

Summary

The article frames a Bitcoin rebound from a previously identified demand zone, which it says also aligned with a Fibonacci retracement, as a possible setup for a defined-risk bullish options trade. It describes buying one call at a lower strike, selling two calls at a middle strike, and buying one call at a higher strike, using April 19 contracts with strikes of $71,000, $73,000, and $75,000.

The payoff peaks if BTC settles at the middle strike at expiry. The stated maximum profit is $1,885 per BTC against a $115 debit, which is also the maximum loss if the market falls or finishes far from the peak region. The rationale is a recent rebound and expectation of further upward retracement; the article offers no backtest or probability estimate, and the narrow payoff depends on both price and expiry timing. Its market levels and dated contracts describe a specific historical trade rather than a current recommendation.

Key ideas

• A call butterfly combines a long lower-strike call, two short middle-strike calls, and a long upper-strike call.
• The example seeks its maximum payoff if BTC expires at $73,000.
• The initial debit caps the stated downside at $115 per BTC.
• The bullish thesis rests on a rebound from a demand zone and its confluence with a Fibonacci level.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.