What Is the Risk Profile of a Covered Call Option Strategy?

A covered call strategy involves holding a long position in an asset (e.g. 100 shares of stock or 1 BTC) and simultaneously selling (writing) a call option on that same asset.

The risk profile is that the potential loss is limited to the initial purchase price of the asset, while the potential profit is capped at the strike price plus the premium received. It is a conservative strategy.