Anchorage Warns Bitcoin Yield Trade Could Cap Gains If BTC Rips Higher

Anchorage Warns Bitcoin Yield Trade Could Cap Gains If BTC Rips Higher

Anchorage Digital says Bitcoin covered-call strategies can generate synthetic yield for BTC holders, but only when managed with strict discipline. The firm’s new research warns that selling upside on Bitcoin can cushion drawdowns in weaker markets, yet cap gains sharply when BTC enters one of its violent bull-market phases. The analysis, written by Anchorage Digital Head of Research David Lawant, examines systematic covered-call writing on Bitcoin using hourly simulations across the Deribit implied-volatility surface. Anchorage said the study includes more than 37,000 individual backtests....


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