Cryptocurrency stock MicroStrategy is a favorite among put traders today
The stock market is dealing with crazy whiplash right now, with the S&P 500 rallying more than 8% then dropping 4% all in the span of an hour. One stock exempt from the flip-flopping and seemingly permanently lower today is Bitcoin (BTC)-tied MicroStrategy Inc (NASDAQ:MSTR).
MSTR was last seen down 5.3% to trade at $278, as cryptocurrency stocks extend their selloff. The shares have remained lower this morning even as BTC pushes back into positive territory. Year-to-date, the equity is now 6% lower, but remains 90% higher in the last 12 months, with support stepping up at its 200-day moving average.
Options traders have been betting bullishly. MSTR's 10-day call/put volume ratio of 3.02 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) ranks higher than 85% of readings from the past year.
Today though, puts outnumber calls and are trading at double the average intraday amount. It seems some spread activity with flex options is occurring at the May 270 strike.