Strangle (Long Call & Put)
While a single Call or Put option is enough for most people to achieve their investment goals, some may look to more advanced strategies that involve buying multiple Call and Put options simultaneously.
Perhaps you feel confident that the floor price for an NFT will move in some direction–only thing is you don’t know which direction.
In this case, buying a Strangle might be a suitable tactic for you. A “Strangle” is when you buy both Call and Put options simultaneously. Though you end up paying two separate premiums, you can turn a profit if prices move significantly in either direction.
Your can get unlimited gains to the upside if the floor price goes to the moon, and if the project goes to 0 you profit all the way down.
The risk you take on is if the floor price remains flat (beneath the strike price of your Call option and above the strike of your Put). In this event, both options would expire worthless.