How are BLSH butterfly max profit and max loss calculated?

Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the BLSH butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 70.12%), the computed maximum profit is $181.33 per contract and the computed maximum loss is -$17.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a BLSH butterfly?

The breakeven for the BLSH butterfly priced on this page is roughly $34.17 and $37.85 at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current BLSH market-implied 1-standard-deviation expected move is approximately 20.10%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current BLSH implied volatility affect this butterfly?

BLSH ATM IV is at 70.12% with IV rank near 11.32%, 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.

BLSH Butterfly Strategy

BLSH (Bullish), in the Technology sector, (Software - Infrastructure industry), listed on NYSE.

Bullish provides market infrastructure and information services in United States. It operates Bullish Exchange, a digital assets spot and derivatives exchange that integrates a central limit order book matching engine with automated market making to provide deep and predictable liquidity. The company also offers CoinDesk Indices, a collection of tradable proprietary and single-asset benchmarks and indices that track the performance of digital assets for global institutions in the digital assets and traditional finance industries; CoinDesk Data, a comprehensive suite of digital assets market data and analytics, providing real-time insights into prices, trends, and market dynamics; and CoinDesk Insights, operates Coindesk.com, a leading digital media platform that covers news and insights about digital assets, the underlying markets, policy, and blockchain technology. Bullish was founded in 2020 and is based in George Town, Cayman Islands.

BLSH (Bullish) trades in the Technology sector, specifically Software - Infrastructure, with a market capitalization of approximately $6.28B, a beta of -0.07 versus the broader market, a 52-week range of 24.79-118, average daily share volume of 1.2M, a public-listing history dating back to 2025, approximately 400 full-time employees. These structural characteristics shape how BLSH stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of -0.07 indicates BLSH has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.

What is a butterfly on BLSH?

A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration.

Current BLSH snapshot

As of May 15, 2026, spot at $36.16, ATM IV 70.12%, IV rank 11.32%, expected move 20.10%. The butterfly on BLSH below is built from the same end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 28-day expiry.

Why this butterfly structure on BLSH specifically: BLSH IV at 70.12% is on the cheap side of its 1-year range, which favors premium-buying structures like a BLSH butterfly, with a market-implied 1-standard-deviation move of approximately 20.10% (roughly $7.27 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated BLSH expiries trade a higher absolute premium for lower per-day decay. Position sizing on BLSH should anchor to the underlying notional of $36.16 per share and to the trader's directional view on BLSH stock.

BLSH butterfly setup

The BLSH butterfly below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With BLSH near $36.16, the first option leg uses a $34.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed BLSH chain at a 28-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 BLSH shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$34.00	$3.78
Sell 2	Call	$36.00	$2.73
Buy 1	Call	$38.00	$1.85

BLSH butterfly risk and reward

Net Premium / Debit: -$17.00
Max Profit (per contract): $181.33
Max Loss (per contract): -$17.00
Breakeven(s): $34.17, $37.85
Risk / Reward Ratio: 10.667

Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit.

BLSH butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on BLSH. 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	-100.0%	-$17.00
$8.00	-77.9%	-$17.00
$16.00	-55.8%	-$17.00
$23.99	-33.6%	-$17.00
$31.99	-11.5%	-$17.00
$39.98	+10.6%	-$17.00
$47.97	+32.7%	-$17.00
$55.97	+54.8%	-$17.00
$63.96	+76.9%	-$17.00
$71.96	+99.0%	-$17.00

When traders use butterfly on BLSH

Butterflies on BLSH are pinning bets - traders use them when they expect BLSH to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.

BLSH thesis for this butterfly

The market-implied 1-standard-deviation range for BLSH extends from approximately $28.89 on the downside to $43.43 on the upside. A BLSH long call butterfly is a pinning play: it pays maximum at the middle strike if BLSH settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current BLSH IV rank near 11.32% 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 BLSH at 70.12%. As a Technology name, BLSH options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to BLSH-specific events.

BLSH butterfly positions are structurally neutral / pin (limited-risk, limited-reward); 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. BLSH positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move BLSH alongside the broader basket even when BLSH-specific fundamentals are unchanged. Always rebuild the position from current BLSH chain quotes before placing a trade.

Frequently asked questions

What is a butterfly on BLSH?: A butterfly on BLSH is the butterfly strategy applied to BLSH (stock). The strategy is structurally neutral / pin (limited-risk, limited-reward): A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration. With BLSH stock trading near $36.16, the strikes shown on this page are snapped to the nearest listed BLSH chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are BLSH butterfly max profit and max loss calculated?: Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the BLSH butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 70.12%), the computed maximum profit is $181.33 per contract and the computed maximum loss is -$17.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a BLSH butterfly?: The breakeven for the BLSH butterfly priced on this page is roughly $34.17 and $37.85 at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current BLSH market-implied 1-standard-deviation expected move is approximately 20.10%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on BLSH?: Butterflies on BLSH are pinning bets - traders use them when they expect BLSH to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
How does current BLSH implied volatility affect this butterfly?: BLSH ATM IV is at 70.12% with IV rank near 11.32%, 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.