Theta Burn
A colloquial term for accelerated time-decay impact as expiration approaches.
Explanation
Theta burn is most visible in short-dated, at-the-money options where extrinsic value erodes rapidly day to day. Premium sellers seek to benefit from this acceleration; premium buyers must overcome it with directional or volatility gains.
Example
An option with 7 DTE can lose value sharply each day even with little underlying movement.