ETHT Collar Strategy
ETHT (ProShares - Ultra Ether ETF), in the Financial Services sector, (Asset Management - Leveraged industry), listed on AMEX.
The ProShares Ultra Ether ETF is engineered to deliver daily investment outcomes that are double (2x) the day-to-day performance of the Bloomberg Ethereum Index. This measure is taken before any associated management fees and operating expenses are factored in.
ETHT (ProShares - Ultra Ether ETF) trades in the Financial Services sector, specifically Asset Management - Leveraged, with a market capitalization of approximately $74.4M, a beta of 5.11 versus the broader market, a 52-week range of 7.07-131.74, average daily share volume of 1.9M, a public-listing history dating back to 2024. These structural characteristics shape how ETHT etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 5.11 indicates ETHT has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. ETHT pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on ETHT?
A collar pairs long stock with a protective out-of-the-money put financed by a short out-of-the-money call, capping both tails of the position around the current spot.
ETHT snapshot
As of August 14, 2026, spot at $10.12, ATM IV 99.90%, IV rank 21.78%, expected move 28.64%. The collar on ETHT below is built from the August 14, 2026 end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.
Why this collar structure on ETHT specifically: IV regime affects collar pricing on both sides; compressed ETHT IV at 99.90% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 28.64% (roughly $2.90 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated ETHT expiries trade a higher absolute premium for lower per-day decay. Position sizing on ETHT should anchor to the underlying notional of $10.12 per share and to the trader's directional view on ETHT etf.
ETHT collar setup
The ETHT collar below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With ETHT at $10.12 on that close, the first option leg uses a $11.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ETHT chain at a 35-day expiry; the cross-strike IV skew is reflected directly in the per-leg values rather than approximated. Quantity sizing assumes one contract per option leg (or 100 ETHT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $10.12 | long |
| Sell 1 | Call | $11.00 | $0.80 |
| Buy 1 | Put | $10.00 | $1.10 |
ETHT collar risk and reward
- Net Premium / Debit
- -$1,042.00
- Max Profit (per contract)
- $58.00
- Max Loss (per contract)
- -$42.00
- Breakeven(s)
- $10.42
- Risk / Reward Ratio
- 1.381
Max profit roughly equals short-call strike minus cost basis plus net premium; max loss roughly equals cost basis minus long-put strike minus net premium. Breakeven shifts by the net premium.
ETHT collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on ETHT. Each row is one sampled price point from the computed payoff curve; the full curve uses 200 price points internally before being summarized into 10 rows here.
| Underlying Price | % From Spot | P&L at Expiration |
|---|---|---|
| $0.01 | -99.9% | -$42.00 |
| $2.25 | -77.8% | -$42.00 |
| $4.48 | -55.7% | -$42.00 |
| $6.72 | -33.6% | -$42.00 |
| $8.96 | -11.5% | -$42.00 |
| $11.19 | +10.6% | +$58.00 |
| $13.43 | +32.7% | +$58.00 |
| $15.67 | +54.8% | +$58.00 |
| $17.90 | +76.9% | +$58.00 |
| $20.14 | +99.0% | +$58.00 |
When traders use collar on ETHT
Collars on ETHT hedge an existing long ETHT etf position; the long put sets a floor while the short call finances it, often run as a near-zero-cost hedge during expected volatility windows.
ETHT thesis for this collar
The market-implied 1-standard-deviation range for ETHT extends from approximately $7.22 on the downside to $13.02 on the upside. A ETHT collar hedges an existing long ETHT position with a protective put while financing the put cost via a short call; when the premiums roughly offset, the collar acts as a near-zero-cost insurance band around the current spot. Current ETHT IV rank near 21.78% sits in the lower third of its 1-year distribution, where IV often re-expands toward the mean; this favors premium-buying structures and disadvantages premium-selling structures on ETHT at 99.90%. As a Financial Services name, ETHT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ETHT-specific events.
ETHT collar positions are structurally neutral (protective); the modeled P&L assumes European-style exercise at expiration and ignores early assignment, transaction costs, dividends paid before expiry on the stock leg (when present), and the bid-ask spread on the listed chain. ETHT positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ETHT alongside the broader basket even when ETHT-specific fundamentals are unchanged. Always rebuild the position from current ETHT chain quotes before placing a trade.
Frequently asked questions
- What is a collar on ETHT?
- A collar on ETHT is the collar strategy applied to ETHT (etf). The strategy is structurally neutral (protective): A collar pairs long stock with a protective out-of-the-money put financed by a short out-of-the-money call, capping both tails of the position around the current spot. With ETHT etf at $10.12 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed ETHT chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are ETHT collar max profit and max loss calculated?
- Max profit roughly equals short-call strike minus cost basis plus net premium; max loss roughly equals cost basis minus long-put strike minus net premium. Breakeven shifts by the net premium. For the ETHT collar priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 99.90%), the computed maximum profit is $58.00 per contract and the computed maximum loss is -$42.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a ETHT collar?
- The breakeven for the ETHT collar priced on this page is roughly $10.42 at expiration, derived from the August 14, 2026 end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The ETHT market-implied 1-standard-deviation expected move in the same options snapshot is approximately 28.64%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on ETHT?
- Collars on ETHT hedge an existing long ETHT etf position; the long put sets a floor while the short call finances it, often run as a near-zero-cost hedge during expected volatility windows.
- How does current ETHT implied volatility affect this collar?
- ETHT ATM IV is at 99.90% with IV rank near 21.78%, which is on the low end of its 1-year range. Premium-buying structures (long call, long put, debit spreads) are relatively cheap in this regime; premium-selling structures collect less credit per unit risk.