Bitcoin options market shows interesting signals. I just saw VanEck data indicating traders are paying the highest prices for downside protection—put/call ratio reaching 0.84, the highest level since June 2021. This means investors are very defensive right now.

What’s interesting is the context. The spot price of Bitcoin is relatively stable, but leverage speculation volume is decreasing, and realized volatility has dropped from 80 to 50. In the past 30 days, traders spent around $685 million on put options while call premiums fell 12% to $562 million. Relative to spot volume, put premiums reached 4 basis points—an all-time high in VanEck data, about three times higher than mid-2022 levels during the Terra/Luna crisis.

Historically, fear patterns like this often mark a turning point, not a new decline. VanEck found that over the past six years, similar options skew are followed by an average 13% increase in Bitcoin over 90 days and 133% over 360 days. So the market might be overreacting and seeking insurance at unnecessary levels. With the current price at $72.84K, it might be worth watching for a momentum recovery going forward.