• support@madhedgefundtrader.com
  • Member Login
Mad Hedge Fund Trader
  • Home
  • About
  • Store
  • Luncheons
  • Testimonials
  • Contact Us
  • Click to open the search input field Click to open the search input field Search
  • Menu Menu

Crypto Alert - (BLOK) September 7, 2021 - BUY

Bitcoin Alerts

When John identifies a strategic exit point, he will send you an alert with specific trade information as to what security to sell, when to sell it, and at what price. Most often, it will be to TAKE PROFITS, but, on rare occasions, it will be to exercise a STOP LOSS at a predetermined price to adhere to strict risk management discipline.


Alert

 

Trade Alert - (BLOK) – BUY

BUY the Amplify Transformational Data Sharing ETF (BLOK) $41-$46 in-the-money vertical Bull Call spread at $4.30

Opening Trade

9-7-2021

expiration date: October 15, 2021

Number of Contracts = 23 contracts

 

If you don’t do options, buy the stock. My target for (BLOK) this year is $70.

We got a massive “buy the rumor, sell the news” liquidity event for Bitcoin as the tiny Central American sovereign nation El Salvador adopted the currency as its official national currency.

They are the first to do so.

I am therefore buying the Amplify Transformational Data Sharing ETF (BLOK) $41-$46 in-the-money vertical Bull Call spread at $4.30.

This is a bet that BLOK will stay above $46 in the next 38 days.

Bitcoin is down 9-11% this morning and I 100% view this sell-off as a beautiful buy-the-dip opportunity in crypto assets.

El Salvador adopting Bitcoin as a national currency will NOT disrupt the overall narrative of higher bitcoin prices. Therefore, I see this as a great entry point into the best of the crypto assets including Ethereum (ETH) and Cardano (ADA).

My favorite crypto ETF is Amplify Transformational Data Sharing ETF (BLOK) which has morphed into one of the best crypto ETFs on the market since its inception.

(BLOK) is an actively managed ETF that seeks to provide total return by investing at least 80% of its net assets in equity securities of companies actively involved in the development and utilization of blockchain technologies. It trades right at net asset value, meaning you don’t have to pay any premium whatsoever.

(BLOK)’s biggest two positions are Bitcoin proxy MicroStrategy (MSTR) and a Canadian crypto mining company called Hut 8 Mining Corp (HUT), which has already tripled since June.

I have already shot out a MicroStrategy (MSTR) trade alert to new readers and am incredibly bullish on the company.

However, this ETF encompasses more than (MSTR) offering broader exposure to firms related to Bitcoin, crypto miners, and software companies that are heavily into crypto.

Hut 8 engages in industrial-scale bitcoin mining operations. It also owns and operates 38 BlockBoxes in Drumheller, Alberta, and 56 BlockBoxes in Medicine Hat, Alberta.

BlockBoxes is one of the most powerful and cost-effective bitcoin mining units available on the market.

(BLOK) doesn’t track bitcoin 1:1, but it does mimic the price action relatively closely, albeit with less extreme swings.

Controlling excess volatility is something you should be happy about.

(BLOK) also has an expense ratio of only 0.71%, which isn’t too expensive for those who want to buy and hold the ETF and not trade the derivative.

Buying (BLOK) is most likely the best way to ensure safe trading under the framework of the SEC, but I understand others have a higher risk profile which is also welcome.

To understand more about the ETF (BLOK), click here.

Here are the specific trades you need to execute this position:

Buy to Open 23 October 2021 (BLOK) $41 calls at………….………$10.50

Sell to Open 23 October 2021 (BLOK) $46 calls at……..........…....$6.20

Net Cost:……………………..…….………..……......................…….….....$4.30

Potential Profit: $5 - $4.3 = $.70

(23 X 100 X $.70) = $1,610 or 16.28% in 38 days

 

 

 

 

 

If you are uncertain on how to execute an options spread, please watch my training video by clicking here.

The best execution can be had by placing your bid for the entire spread in the middle market and waiting for the market to come to you. The difference between the bid and the offer on these deep in-the-money spread trades can be enormous.

Don’t execute the legs individually or you will end up losing much of your profit. Spread pricing can be very volatile on expiration months farther out.

Keep in mind that these are ballpark prices at best. After the alerts go out, prices can be all over the map.

Share this entry
  • Share on Facebook
  • Share on X
  • Share on WhatsApp
  • Share on Pinterest
  • Share on LinkedIn
  • Share by Mail
https://www.madhedgefundtrader.com/wp-content/uploads/2016/02/Alert-e1457452190575.jpg 135 150 Mad Hedge Fund Trader https://madhedgefundtrader.com/wp-content/uploads/2019/05/cropped-mad-hedge-logo-transparent-192x192_f9578834168ba24df3eb53916a12c882.png Mad Hedge Fund Trader2021-09-07 12:52:352021-09-07 12:52:51Crypto Alert - (BLOK) September 7, 2021 - BUY

tastytrade, Inc. (“tastytrade”) has entered into a Marketing Agreement with Mad Hedge Fund Trader (“Marketing Agent”) whereby tastytrade pays compensation to Marketing Agent to recommend tastytrade’s brokerage services. The existence of this Marketing Agreement should not be deemed as an endorsement or recommendation of Marketing Agent by tastytrade and/or any of its affiliated companies. Neither tastytrade nor any of its affiliated companies is responsible for the privacy practices of Marketing Agent or this website. tastytrade does not warrant the accuracy or content of the products or services offered by Marketing Agent or this website. Marketing Agent is independent and is not an affiliate of tastytrade. 

Legal Disclaimer

There is a very high degree of risk involved in trading. Past results are not indicative of future returns. MadHedgeFundTrader.com and all individuals affiliated with this site assume no responsibilities for your trading and investment results. The indicators, strategies, columns, articles and all other features are for educational purposes only and should not be construed as investment advice. Information for futures trading observations are obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. Your use of the trading observations is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness of the information. You must assess the risk of any trade with your broker and make your own independent decisions regarding any securities mentioned herein. Affiliates of MadHedgeFundTrader.com may have a position or effect transactions in the securities described herein (or options thereon) and/or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies.

Copyright © 2025. Mad Hedge Fund Trader. All Rights Reserved. support@madhedgefundtrader.com
  • Privacy Policy
  • Disclaimer
  • FAQ
Link to: September 7, 2021 Link to: September 7, 2021 September 7, 2021 Link to: Trade Alert - (PINS) September 7, 2021 - SELL-TAKE PROFITS Link to: Trade Alert - (PINS) September 7, 2021 - SELL-TAKE PROFITS Trade Alert - (PINS) September 7, 2021 - SELL-TAKE PROFITS
Scroll to top