Options Put/Call Ratio & DVol: Options Market Positioning

The put/call ratio compares open interest in put options (bets on/hedges against a decline) versus call options (bets on/hedges for a rise). A high ratio means the options market holds more put exposure than call exposure - typically read as hedging or bearish positioning; a low ratio implies the opposite. DVol is an implied volatility index for BTC options (conceptually similar to the VIX for equities) - it reflects how much price movement the options market is pricing in going forward, not what has already happened. Rising DVol means options are pricing in bigger expected swings; falling DVol means the market expects calmer conditions. BTCWEAPON.COM also compares DVol against realized volatility (the IV-RV spread) - when implied volatility trades well above what's actually been realized, options are relatively expensive (the market is paying up for protection or upside); when it trades below realized, options are comparatively cheap for the amount of actual movement happening.