Bitcoin Options Just Revealed Something Strange About Market Sentiment

A put/call ratio of 0.26 typically signals confident bullish positioning. Typically, more calls than puts means traders are betting on price increases. But the broader market context reveals a very different picture.

The Contradiction: Cheap Calls, Not Conviction

The low put/call ratio is not driven by traders piling into bullish bets. It is driven by the fact that calls have become extremely cheap.

According to Glassnode, upside implied volatility (IV) — the market's expectation of future price swings to the upside embedded in call option prices — dropped to a record low of 23% around the time of this expiry . This is the lowest reading ever recorded. In practical terms, it means traders are paying almost no premium for call options.