Question
A trader sells two December futures contracts on Bitcoin. Each contract is for the delivery of 5 bitcoins. The current futures price is $31,340 per
A trader sells two December futures contracts on Bitcoin. Each contract is for the delivery of 5 bitcoins. The current futures price is $31,340 per bitcoin, the initial margin is $300,000 per contract, and the maintenance margin is $200,000 per contract (i.e., $40,000 per bitcoin). Please round the number solution to the nearest whole number.
A. Whats the futures price ($ per bitcoin) that would lead to a margin call?
Your answer is $_____________ per bitcoin.
B. At which futures price ($ per bitcoin) could $240,000 be withdrawn from the margin account?
Your answer is $_____________ per bitcoin.
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