Content and data provided by various third parties and Fidelity − Terms of Use | Help/Glossary
Research > ETFs > ETF / ETP Commentary > 

The Bitcoin Rebound: How to Invest With Downside Protection

BY | ETF Database
6:38 am ET 05/27/26 | 6 VIEWS
Considering how bitcoin performed across the first few months of 2026, some investors may have decided to distance themselves from the asset class for now. However, the cryptocurrency’s recent price performance indicates a more layered story than one may have expected.After all, bitcoin’s price is currently sitting at more normalized levels. As of May, 20, 2026, bitcoin is trading around the $76k range, which is roughly $10k higher than the mid-$60k levels that the cryptocurrency was floating around in late February and early March. See More: Is Bitcoin Back? Buy in With Protected Bitcoin ETFs However, some may be wondering: Why is bitcoin suddenly back on the menu? Well, the good thing is that bitcoin’s price is bouncing back for a few different reasons. Considering all of the geopolitical risks that are still ongoing, many advisors and investors are looking for geopolitical hedges to add to their portfolios. Bitcoin’s digital store of value lets it operate as a potential geopolitical hedge as gold — one of bitcoin’s competitors in the space — struggles to regain its footing. As the chart below shows, bitcoin and gold have moved in drastically different directions over the past three months or so.Furthermore, all of this is playing out as many seek to diversify their portfolios amid concentrated markets and tense geopolitical conditions. Again, bitcoin offers a potent use case here, due to its low correlation to the stock market. That being said, October 2025’s cryptocurrency sell-off is probably still fresh on the minds of many advisors and investors. As such, picking up a strategy with downside protection baked in could offer plenty of merit. See More: Beating the Crypto Winter: How Protected Bitcoin ETFs WonCBXA Offers a Lower-Risk Means to Access BitcoinFor instance, take a look at the Calamos Bitcoin 90 Series Structured Alt Protection ETF – April (CBXA ). CBXA uses a disciplined options strategy to provide its investment base to exposure to bitcoin’s price performance, up to a predetermined cap. Where CBXA really shines is through its downside protection. Before fees and expenses, CBXA limits total potential losses to no more than 10% over its one-year outcome period. Considering how unpredictable the price path of bitcoin can be, this sort of downside protection can prove to be a godsend. This fund’s approach allows it to be a suitable vehicle for tapping into bitcoin’s current opportunities in a more risk-conscious manner. For those seeking to diversify and pick up a geopolitical hedge at the same time via bitcoin, CBXA could be offering an attractive means of doing so. For more news, information, and analysis, visit the Alternatives Content Hub. Before investing, carefully consider a Fund’s investment objectives, risks, charges and expenses. Please see the prospectus and summary prospectus containing this and other information which can be obtained by calling 1-866-363-9219. Read it carefully before investing.        The Fund seek to provide investment results that, before taking fees and expenses into account, track the positive price return of the CME CF Bitcoin Reference Rate – New York Variant (“BRRNY”) (“Spot bitcoin”) up to a predetermined upside cap (the “Cap”) while seeking to protect against 90% of losses (before total fund operating fees and expenses) of Spot bitcoin over a period of approximately one (1) year (the “Outcome Period”). The Fund will not invest directly in bitcoin. Instead, the Fund seek to provide investment results that, before taking total fund operating fees and expenses into account, track the positive price return of Spot bitcoin by investing in options that reference the price performance of one or more underlying exchange-traded products (“Underlying ETPs”) which, in turn, own bitcoin and/or one or more indexes that are designed to track the price of bitcoin (“Bitcoin Index”).       The Target Outcome may not be achieved, and investors may lose some or all of their money. The Fund are designed to achieve the Target Outcome only if an investor buys on the first day of the Outcome Period and holds a Fund until the end of the Outcome Period. While the Fund seek to provide 90% protection against losses experienced by the price of Spot bitcoin for shareholders who hold Fund Shares for an entire Outcome Period, there is no guarantee a Fund will successfully do so. If a Fund’s NAV has increased significantly, a shareholder that purchases Fund Shares after the first day of an Outcome Period could lose their entire investment. An investment in the Fund is only appropriate for shareholders willing to bear those losses. There is no guarantee the Capital Protection and Cap will be successful, and a shareholder investing at the beginning of an Outcome Period could also lose their entire investment. An investment in the Fund is subject to risks, and you could lose money on your investment in a Fund. There can be no assurance that a Fund will achieve its investment objective. Your investment in a Fund is not a deposit in a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. The risks associated with an investment in a Fund can increase during times of significant market volatility. The Fund also have specific principal risks, which are described below. More detailed information regarding these risks can be found in the Fund prospectus.        Investing involves risks. Loss of principal is possible. The Fund face numerous market trading risks, including authorized participation concentration risk, underlying ETP risk, cap change risk, capital protection risk, capped upside risk, cash holdings risk, concentration risk, clearing member default risk, correlation risk, costs of buying and selling fund shares, counterparty risk, derivatives risk, equity securities risk, FLEX options risk, interest rate risk, investment in a subsidiary, investment timing risk, liquidity risk, management risk, market maker risk, market risk, new fund risk, non-diversification risk, options risk, OTC options risk, position limits risk, premium-discount risk, secondary market trading risk, sector risk, tax risk, trading issues risk, U.S. Government security risk, U.S. Treasury risk, and valuation risk. For a detailed list of Fund risks see the prospectus.         Digital Assets Risk: The Bitcoin network was first launched in 2009 and bitcoins were the first cryptographic digital assets created to gain global adoption and critical mass. Although the Bitcoin network is the most established digital asset network, the Bitcoin network and other cryptographic and algorithmic protocols governing the issuance of digital assets represent a new and rapidly evolving industry that is subject to a variety of factors that are difficult to evaluate. Moreover, because digital assets, including bitcoin, have been in existence for a short period of time and are continuing to develop, there may be additional risks in the future that are impossible to predict as of the date of this prospectus. Digital assets represent a new and rapidly evolving industry, and the value of the Underlying ETPs’ shares depends on the acceptance of bitcoin. The realization of one or more of the following risks could materially adversely affect the value of the Underlying ETPs’ shares.         90% capital protection is over a one-year period before fees and expenses. All caps are predetermined.         Cap Rate – Maximum percentage return an investor can achieve from an investment in a Fund if held over the Outcome Period.         Protection Level – Amount of protection a Fund is designed to achieve over the Days Remaining.         Outcome Period – Number of days in the Outcome Period.        Calamos Financial Services LLC, Distributor        ©2026 Calamos Investments LLC. All Rights Reserved.     Calamos® and Calamos Investments® are registered trademarks of Calamos Investments LLC.  

More Commentary

How Active ETF TACN Captures Global Stock Growth
BY | ETF Database
5:18 am ET 05/27/26 | 9 VIEWS
Add Quality to Your International Equities Exposure With QINT
BY | ETF Database
4:22 am ET 05/27/26 | 14 VIEWS
Fidelitys Thorpe Talks Yield, 2026 Outlook
BY | ETF Database
7:19 am ET 05/27/26 | 2 VIEWS
View more Commentary

Search Commentary

Enter Keyword(s)
Filter Results

Performance data shown is past performance and is no guarantee of future results. Current performance may be higher or lower than the performance data quoted. Yield and return will vary, therefore you have a gain or loss when you sell your shares. For standard quarterly performance, go to the fund's Snapshot page by clicking on the ETF/ETP's symbol.

ETFs may trade at a premium or discount to their NAV and are subject to the market fluctuations of their underlying investments.

For iShares ETFs, Fidelity receives compensation from the ETF sponsor and/or its affiliates in connection with an exclusive long-term marketing program that includes promotion of iShares ETFs and inclusion of iShares funds in certain FBS platforms and investment programs. Please note, this security will not be marginable for 30 days from the settlement date, at which time it will automatically become eligible for margin collateral. Additional information about the sources, amounts, and terms of compensation can be found in the ETF's prospectus and related documents. Fidelity may add or waive commissions on ETFs without prior notice. BlackRock and iShares are registered trademarks of BlackRock, Inc. and its affiliates.

FBS receives compensation from the fund's advisor or its affiliates in connection with a marketing program that includes the promotion of this security and other ETFs to customers ("Marketing Program"). The Marketing Program creates incentives for FBS to encourage the purchase of certain ETFs. Additional information about the sources, amounts, and terms of compensation is in the ETF's prospectus and related documents. Please note that this security will not be marginable for 30 days from the settlement date, at which time it will automatically become eligible for margin collateral.

News, commentary (including "Related Symbols") and events are from third-party sources unaffiliated with Fidelity. Fidelity does not endorse or adopt their content. Fidelity makes no guarantees that information supplied is accurate, complete, or timely, and does not provide any warranties regarding results obtained from their use.

Any data, charts and other information provided on this page are intended to help self-directed investors evaluate exchange traded products (ETPs), including, but limited to exchange traded funds (ETFs) and exchange traded notes (ETNs). Criteria and inputs entered, including the choice to make ETP comparisons, are at the sole discretion of the user and are solely for the convenience of the user. Analyst opinions, ratings and reports are provided by third-parties unaffiliated with Fidelity. All information supplied or obtained from this page is for informational purposes only and should not be considered investment advice or guidance, an offer of or a solicitation of an offer to buy or sell a particular security, or a recommendation or endorsement by Fidelity of any security or investment strategy. Fidelity does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating ETPs. Fidelity makes no guarantees that information supplied is accurate, complete, or timely, and does not provide any warranties regarding results obtained from their use. Determine which securities are right for you based on your investment objectives, risk tolerance, financial situation and other individual factors and re-evaluate them on a periodic basis.

Before investing in any exchange traded product, you should consider its investment objective, risks, charges and expenses. Contact Fidelity for a prospectus, offering circular or, if available, a summary prospectus containing this information. Read it carefully.