Bitcoin has surged past $126,000, kicking off October with a historically bullish run. Traders who missed the early rally may now feel FOMO—fear of missing out—and are exploring ways to capture further gains while managing risk.
Bull Call Spreads
Markus Thielen, founder of 10x Research, recommends buying higher strike out-of-the-money (OTM) calls or bull call spreads.
“Purchasing 1–2 month OTM calls or spreads (for example, $130,000/$145,000) allows traders to participate in additional upside without overpaying for implied volatility,” he explained.
A bull call spread involves buying a call at a lower strike and selling another at a higher strike with the same expiration. This limits profit potential but reduces upfront costs and caps losses to the net premium paid—making it ideal for traders seeking balanced risk-reward exposure.
Deribit’s Lin Chen noted strong block-trade activity: “Flows are dominated by large call spreads, both long-dated and short-dated, while profit-taking is also visible.”
Financing Call Spreads with Puts
Greg Magadini, derivatives director at Amberdata, suggested selling lower strike OTM puts to fund multiple call spreads.
“This approach minimizes volatility costs while capturing upside,” he said, warning that selling puts carries additional downside risk if BTC falls below the strike.
Long-Term BTC Exposure
For those seeking longer-term participation, buying and holding BTC has historically been the most rewarding approach. Since 2011, BTC’s price has risen from $1 to over $120,000, highlighting its growth potential over time.
