$Volatility Shares 2x Ether ETF (ETHU.US)$ I'd love to be op...
$Volatility Shares 2x Ether ETF (ETHU.US)$ I'd love to be optimistic about this early morning Spike in ethereum. however we were here a week ago we were over $9. Bitcoin and a lot of little tiny coins have rallied tremendously and everybody understands Bitcoin is the end game winner they are the 800 lb gorilla. why this is ETF has not yet experienced a Fibonacci retracement to the levels of where it was in July to the lows is beyond me. this should be $12 right now minimum. and that would be a lousy return at $12. because the truth is blockchain is not dead it's alive and well, and ethereum should be $4,500 and this ETF should be over 16 right now heading towards 20. and yet it's stuck in this narrow band. can anyone explain to me why ethereum has lost its luster since the Japanese trade unwinding and why it has not yet recovered?
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36 yrs in the trenches, raised 100mil for start ups, syndicate ipo's, yrs on trading desk mkt maker.
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Kimpten : volatility decay and it has higher management fee than uvix![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
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10baggerbamm OP Kimpten : no it doesn't decay is rapidly as what people want to say it does.
I've been in s o x l at one point for 9 months without trading out of it. I've been in b i t x for a very long period without trading out of it. I've been in nvdu or very very long time.
the only one that I can tell you that I have witnessed decay is nvdu.
there's just too many people there was a period of time earlier this year back in June July before the market crash of the Japanese trade unwinding were tech stocks got their ass handed to them. right around 131 dollars for nvda was a similar price for nvdu. at that point nvdu crossed over nvda and was moving at a 45° line higher..
once we had this market sell off a lot of the underlying option positions that are used in these leverage ETFs they expired worthless and I believe that had a significant impact to decay in nvdu leveraged ETF.
because this time around when nvda crossed 130, nvdu was $10 less. so there was a material loss because of how they had to restructure that leverage portion of the portfolio as a result of the significant sell-off of Nvidia where I think all of the options expired worthless they couldn't roll them they were so far out of the money whatever it is that they do strategically this created a massive loss. even this morning when we look at the price of nvda and compare it to nvd you you see that discrepancy. if you go back and plot a chart in May June early July of these two symbols. you will see what I'm telling you and how the breakdown occurred. within ethereum within soxl within many of the other leveraged ETFs it's virtually in discernible.