Bitcoin options traders are reducing their hedges as the Federal Reserve's Federal Open Market Committee (FOMC) meeting approaches, according to reporting from CoinDesk. The put/call ratio has fallen to about 0.52 from 0.76 in late June, and one-week downside protection has collapsed in price.
This shift in the options market suggests that traders are positioned for a quiet week, which will include an FOMC decision. The decrease in the put/call ratio and the collapse in one-week downside protection prices indicate a decrease in demand for protection against potential downward price movements.