Bitcoin Put/Call Ratio Declines Following Recent Debt Deal

Derivatives data shows a recent reduction in a metric that is prone to rise when bearish sentiment increases. The bitcoin options put/call ratio across exchanges is currently 0.47, down from 1.34 to begin in June.

The buyer of a put has purchased the right to sell the asset at a specified price, while the buyer of a call is purchasing the right to buy the asset. The relationship between the two can indicate investor sentiment, particularly when rising or falling to extreme levels
The volume of purchased puts and calls is measured over the most recent 24 hours, with levels above one signaling bearishness, and levels below one implying the opposite.
The recent decline indicates that fewer traders are looking to purchase downside protection against future price declines. The spike in protection toward the end of the prior month, was likely tied to concerns about the debt deal recently agreed to by Democrats and Republicans.