The option strike price is the predetermined price at which an investor can buy or sell an underlying asset, like a cryptocurrency, through an options contract. When an investor purchases a call option, they acquire the right to buy the asset at the strike price before the option expires. Conversely, a put option gives them the right to sell the asset at the strike price during the same timeframe.The strike price plays a crucial role in determining whether an option is beneficial. If the market price of the cryptocurrency exceeds the strike price for a call option, the option is considered “in the money.” For a put option, it is “in the money” if the market price falls below the strike price. Traders use strike prices to speculate on price movements or to hedge against potential losses in their portfolios. Understanding the strike price is essential for making informed decisions and effectively managing risk in trading.