Binance Options Secret No One Tells You
45sStarts with a mysterious and high-stakes personal story, instantly grabbing attention and promising exclusive knowledge.
▶ Play ClipAI Summary
This video provides a beginner-friendly guide to options trading on Binance, explaining the core concept of price prediction, step-by-step instructions for setting up a futures wallet and placing trades, and strategies for maximizing profits with low premiums.
Chapters
[00:29]
What is Options Trading?
Options trading involves guessing the price movement of a cryptocurrency within a set time frame (e.g., 1 day, 1 hour, 7 days). If your guess is correct, you profit; you pay a small premium to enter the trade.
[01:10]
Transferring Funds to Futures Wallet
To trade options, you must transfer USDT from your Spot wallet to your Futures wallet. Go to Assets, click Future, then Transfer, enter the amount, and confirm.
[02:04]
Selecting a Coin for Options Trading
Options trading is available only for volatile coins like Ethereum, BNB, XRP, and Dogecoin. The video uses XRP as an example.
[02:43]
Understanding Expiry and Premium
Each option has an expiry date and time. The premium is the cost to enter the trade. The break-even price is the level at which you start making a profit.
[03:52]
Profit Calculation Example
With XRP at $2.44, a call option with strike $1.85 and premium $62 has a break-even of $2.46. If XRP rises above $2.46 within 2 days and 20 hours, you profit. The probability of profit is 43%.
[04:33]
High Profit Strategy with Low Premium
Choosing a far out-of-the-money call (e.g., strike $2.9) with a $1 premium offers a potential 241x profit if XRP reaches $2.9, but only a 6% probability.
[05:39]
Placing the Trade
After selecting the option, enter the amount of USDT to invest (e.g., $10) and click Buy. The order is placed, and you can monitor profit/loss in the order section.
[06:31]
Put Options Explained
If you expect the price to fall, select a Put option. The process is the same as for Call options, but you profit when the price goes below the strike.
Options trading on Binance allows you to speculate on price movements with limited risk (the premium). By understanding break-even prices and expiry, you can choose between safer, lower-profit trades or high-risk, high-reward strategies.
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70% Legit"The title promises a 'secret' and 'high profit strategy,' which is somewhat exaggerated, but the video does deliver a genuine beginner's guide to options trading."
Mentioned in this Video
Tutorial Checklist
5
03:52
Check the break-even price and premium. Ensure the price is likely to cross break-even before expiry.
Study Flashcards (8)
What is options trading?
easy
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What is options trading?
easy
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A type of trading where you guess the price movement of an asset within a set time frame and pay a premium to enter the trade.
00:29
Which wallet must you transfer funds to for options trading on Binance?
easy
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Which wallet must you transfer funds to for options trading on Binance?
easy
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Futures wallet.
01:10
Name three coins that support options trading on Binance as mentioned in the video.
easy
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Name three coins that support options trading on Binance as mentioned in the video.
easy
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Ethereum, BNB, XRP (or Dogecoin).
02:17
What is the break-even price for a call option?
medium
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What is the break-even price for a call option?
medium
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The price at which you start making a profit; for a call, it is the strike price plus the premium paid.
03:52
If XRP is at $2.44 and you buy a call option with strike $1.85 and premium $62, what is the break-even price?
hard
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If XRP is at $2.44 and you buy a call option with strike $1.85 and premium $62, what is the break-even price?
hard
Click to reveal answer
$2.46 (strike $1.85 + premium $0.62? Actually $1.85 + $0.62 = $2.47, but video says $2.46).
03:52
What is the probability of profit for the $1.85 call option in the example?
medium
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What is the probability of profit for the $1.85 call option in the example?
medium
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43%.
03:38
How can you achieve a 241x profit according to the video?
medium
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How can you achieve a 241x profit according to the video?
medium
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By buying a far out-of-the-money call option with a very low premium (e.g., $1) and a high strike price (e.g., $2.9).
04:48
What is the difference between a Call and a Put option?
easy
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What is the difference between a Call and a Put option?
easy
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A Call option profits when the price rises above the strike; a Put option profits when the price falls below the strike.
06:31
💡 Key Takeaways
📊
Options Trading Definition
Clearly defines options trading as a price prediction game with a premium, which is the core concept.
00:29
🔧
Break-Even Price Explanation
Explains the critical concept of break-even price using a concrete example, essential for understanding profitability.
03:52
💡
High Risk High Reward Strategy
Illustrates a strategy with very low premium and high potential profit, highlighting the risk-reward trade-off.
04:33Full Transcript
[00:02] and then what happened next to me, you cannot imagine it or even I had not imagined it. This Binance Options trading secret that no one tells you. So in today's video I will tell you
[00:15] small request to you that honestly, without skipping, you watch this video till the end. You will understand all the things from A to Z in details. First of all, before we move ahead in the video, let us understand what is option trading or
[00:29] options trading in Binance? So option trading is a type of trading which has a feature. You can guess the price movement. That means you just have to guess a price from here. Let's assume you are guessing the price of Bitcoin. You will have
[00:42] time frames in front of you. It's been 1 day , 1 hour, 7 days or 14 days. During this time period, you have to guess whether the price of Bitcoin will go up or down. If your guess is correct then you
[00:54] start making profits from there. If the price of Bitcoin here is $1,100, then you have to pay a small premium in return for it. Then you will be able to trade in Bitcoin. Now let us discuss
[01:10] click on Assets. After clicking on Assets, means, whatever money you have added to it through person to person transactions, all that money is in the spot wallet. What do you
[01:23] you will have to transfer this money to the future wallet so that you can do option trading. click on Future and from here you have to click on Transfer. Click on transfer. Here it will become clear to you that you are transferring USDT from the spot wallet to the future
[01:37] Now from here you simply have to enter the amount of USDT you want to transfer from here. So right now I have 396 USDT Futures & Options here. And from here I will
[01:51] My transfer from here will be successful. And from here you will see $1 in my wallet i.e. Future and Option wallet. Now click on Future. Click on future. From here you will reach the options trading
[02:04] page. Now let us talk about how you can do options trading ? So look, to do options trading, you cannot do options trading in all cryptos crypto coins which are very volatile. This means that it is very difficult for them to
[02:17] predict the market price. So from here you can do option trading only in some selected coins. Like you You can do it in Ethereum. You can do it in BN also. You can do it in XRP
[02:30] or you can also do it in DG coin. So for now I want to take the trade in XRP. So simply I select XRP. Now from here you understand the most important thing, if you understand this then after this you will not need to watch any other videos.
[02:43] Now from here, first of all I have I think that the price is going to go upwards in the coming days when could that day be? So here it is clearly mentioned to you that
[02:58] I am taking trades from here till 17th, 10th month and till 2025. And whatever premium you are seeing, whatever trade you are seeing, it will be valid only till the 17th and from here you will also be able to see its expiry time. That
[03:11] means after 2 days and 20 hours, this trade of mine will expire and accordingly I will have profit and loss. Now you understand how this profit and loss will happen. You see one thing here. So first of all here you are seeing the price of xRP as
[03:24] 2.442 which we also call index price. This price is the current price of XRP. And from here you see, if you are taking a call of 1.85 then here you can make so much profit, that is, going by the value of 3.94, three to four times,
[03:38] you can make approximately four times profit. If you buy XRP at a price of ₹62 premium. Here you see there is 43% probability. This means that your chances are that you will get 43% profit here. Now how will this profit be made?
[03:52] Right now the price of XRP is 2.4 and the break even price here is 2.46, which means that in the coming time, within the next 2 days and 20 hours, if the price of XRP goes above 2.46, then you will
[04:08] start making profit from here. Ok? You have understood this carefully that as soon as the price of XRP, which is currently 2.4, becomes 2.46, you will start making profit from here. For that you will have to pay a premium of $61 in an option trade.
[04:21] premium of $61 in an option trade. But here, But here, or no profit. For this reason, many people
[04:33] want to pay less premium, in which you will get a lot of profit. Look, I think that in the coming few days, which is two days here, the expiry time, within this, XRP will touch 2.9 here and
[04:48] for that I have to pay a premium here. Only $1 premium needs to be paid here. Its chances of making profit are 6%. But I think the XRP will cross 2.9 there. Then I will make
[05:01] profit here. So I will take this profit. I will take this premium because I will get to see a profit of 241 times more in this, less, but the premium I have to pay here is very less, so I will
[05:15] take it, but if you want to take less risk and make less profit, then you can select any of the above premiums here, keep in mind that you will get profit only when whatever trade you have taken from here
[05:27] goes above the break even price because you have taken a call option from here and if within 2 days, if this price remains above 2.47, then you will get profit accordingly. So simply now you have to take the trade, I think I will
[05:39] take the trade at the lower level because I want more profit. Now after clicking on it, simply such an interface will appear in front of you. Now, to buy from here, whatever USDT is available to you will be shown to you. Now from here you
[05:51] can also enter the amount manually. Otherwise, me think, from here I will
[06:05] or $10 here. Like I bought $10 and from here I went to here, you will also see a graph below. Right now the graph is moving here and as soon as this graph breaks this break even price.
[06:17] and I will come into green. So to simply buy, you have to click on buy here. And from here your order will be placed. And if you click on Check My Order, then start making profit, everything will start appearing in front of you from here.
[06:31] Similarly, if you want, you can select not only buy option but also put option from here. Same process happens. But here you think that the price will go below xRP i.e. below 1.79,
[06:45] then you can select the put option here. So this is how you can do options trading on Binance. Hopefully you must have understood. If you do not understand then you can go back and watch the videos again because I have tried to
[06:58] because I have tried to