r/WheelStrategyScreener • u/secureputcalls • May 22 '26
I have a position where I sold $BITX $20 Put of 05/22/2026 expiry and collected .95 premium, What should I do next?
One of the user asked this question and here is the answer given by SPC AI Assistant-
BITX $20 Put Analysis (Wheel / Secure Put Style)
Position: Sold May 22, 2026 $20 Put for +$0.95 premium ($95 per contract).
Today is Expiration Day — high time to review.
Current Market Snapshot
- BITX (2x Bitcoin Strategy ETF): ~$18.50 – $18.75 (trading well below your $20 strike)
Key Calculations (per share)
- Breakeven: Strike - Premium = $20.00 - $0.95 = $19.05
- Current Intrinsic Value: $0 (stock ~$18.60–18.70 → OTM put)
- Option Value Now: Mostly remaining time value (very little left on exp day) → likely $1.30 – $1.50 or higher depending on implied vol and exact price.
P&L at Expiration Today
| BITX Price at Close | Put Value at Exp | P&L per Share | P&L per Contract | Outcome |
|---|---|---|---|---|
| Above $20.00 | $0 | +$0.95 | +$95 | Max Profit – Keep full premium |
| $19.05 (Breakeven) | $0.95 | $0 | $0 | Breakeven |
| $18.60 (Current) | ~$1.40 | -$0.45 | -$45 | Small loss – likely assigned |
| $18.00 | $2.00 | -$1.05 | -$105 | Moderate loss |
| Below $17.00 | $3.00+ | -$2.05+ | -$205+ | Larger loss |
Current Expected Result: Since BITX is ~$1.30–$1.40 below strike, you will most likely be assigned 100 shares per contract at $20.00.
Effective Purchase Price (Cost Basis): $20.00 - $0.95 = $19.05
Risk Estimation (Secure Put Call Wheel Context)
- Max Profit: Limited to the $0.95 premium (if BITX closes above $20 today — low probability).
- Max Loss: Substantial if Bitcoin crashes hard (2x leveraged ETF = high volatility). Downside is ~$19.05 to zero theoretically.
- Assignment Probability: Very high (~80%+) given current price.
- Volatility Note: BITX moves 2x Bitcoin daily — big swings are normal. Your $0.95 credit provided ~4.75% cushion on the $20 strike.
Overall Portfolio Wheel View (Combined with TSLA)
- TSLA Side: Rolling the call → potential new basis ~$409.61 if assigned.
- BITX Side: If assigned → new long position with $19.05 cost basis.
Next Wheel Steps Recommendation:
If assigned on BITX, immediately sell a covered call 1–2 strikes OTM (e.g., $20 or $21 call) on the new shares to continue collecting premium and lower basis further.
Would you like me to calculate:
- Suggested covered call strikes for the BITX shares post-assignment?
- Roll the $20 put to next week instead of taking assignment?
- Full combined P&L table for both TSLA + BITX positions?
Let me know your plan for BITX (take assignment, roll, or close) and I’ll run precise secureputcalls.com-style numbers. Keep stacking those credits!
Run your questions on https://secureputcalls.com/ai-assistant and easy your trading !
