I noticed that there are many call contracts on GME at a strike of $800 that expire in 5 days. Currently the price of GME is at $110.
I'm just wondering why anyone would go for such a high strike ? Wouldn't it be wiser to buy a call at a lower strike point ? I mean, if GME actually ends up at $800 by the end of the week, then anyone who buys that option is barely breaking even.
If someone actually believes that GME will go to $800, wouldn't buying a call option at a lower strike point give them more of an oportunity for profit ?
Sorry if my question seems very basic, but I just started learning about options.