Bitcoin options traders reduce downside hedging ahead of Fed meeting

According to Odaily, Bitcoin options traders have significantly reduced their downside hedging since late June, with the put/call open interest ratio dropping from 0.76 to approximately 0.52. Short-term options indicate that traders' demand for near-term protection is lower than that for options with 3 to 6-month maturities, suggesting they expect relatively stable markets this week while still hedging against volatility later in the year. Implied volatility across all maturities remains low, and the term structure is sloping upward toward the future. Should the Fed's interest rate decision or projections on Wednesday exceed investor expectations, there is limited room for market buffer. (CoinDesk)