Markets can remain irrational, and inflated by monetary/fiscal policy or consumer repression, longer than your options can remain unexpired. Among other things—the real world is far more imaginative than any trader. You might as well ask, ‘how did markets go up with the first coronavirus?’ Better to bet on large changes through the VIX or something, rather than their exact direction & timing...
Markets can remain irrational, and inflated by monetary/fiscal policy or consumer repression, longer than your options can remain unexpired. Among other things—the real world is far more imaginative than any trader. You might as well ask, ‘how did markets go up with the first coronavirus?’ Better to bet on large changes through the VIX or something, rather than their exact direction & timing...