Long Put — Buying a Put Option

A put gives the right to sell the underlying at the strike. The lower the price falls below the strike, the larger the profit; the maximum is reached if price goes to zero (strike − premium).

If price stays above the strike, the put expires worthless and you lose only the premium.

When you expect BTC/ETH to fall, or want to insure a spot position against a drawdown. The Long Put gains from a falling price and rising IV, and loses to theta decay.

Open from GEX levels. A long put works best in a red regime (negative GEX, below the Gamma Flip), where drawdowns accelerate.

Set your take-profit and strike reference at the Put Wall (the largest negative-GEX strike, N1) — a likely support zone. In high IV consider a put spread to avoid overpaying premium.

The Put Wall, Gamma Flip and hedging pressure are computed live in the GEX Terminal — build the position on them in the Position Builder.

It suits overheated markets where a drop or a volatility spike is expected. It is a safe alternative to an uncovered short sale: risk is strictly capped at the premium, whereas a short's losses are theoretically unlimited. Max profit = strike − premium (if price falls to zero), breakeven = strike − premium.

Greeks: long vega and negative theta — rising IV helps the put while time decays it. Management: close the position if the expected drop fails to materialise, to salvage the remaining time value.