I heard about the max pain theory related to
Bitcoin and I'm curious to understand what it is. Could someone explain this concept to me in simple terms?
6 answers
BlockchainBaroness
Tue Dec 24 2024
It proposes that option prices have a tendency to move towards specific strike prices.
lucas_taylor_teacher
Tue Dec 24 2024
These strike prices are characterized by a high concentration of contracts.
CryptoVanguard
Tue Dec 24 2024
These contracts are set to expire worthless, earning them the name max pain points.
CryptoQueen
Tue Dec 24 2024
In the context of Bitcoin, the Max Pain theory suggests a particular scenario.
Michele
Tue Dec 24 2024
The Max Pain theory presents an intriguing perspective on options pricing.