2026-01-16 07:23:33

The demand for put options continues to heat up, while market supply appears to be stretched thin. This imbalance reflects traders' true attitude towards downside risks.

The current structure of the options market is quite interesting. On one hand, investors are rushing into put options to hedge risks; on the other hand, there are not many willing to sell put options to take on these risks. This supply and demand gap is widening, directly pushing up option prices.

From the perspective of market participants, this indicates that everyone is indeed cautious about short-term downside risks. Whether professional traders or ordinary investors, they are managing their exposure by allocating to put options. This phenomenon is especially evident during periods of rising volatility and increasing uncertainty.

The pricing logic of the options market is straightforward—when everyone wants to buy insurance, but there are fewer sellers, the insurance (option premiums) naturally becomes more expensive. This also indirectly confirms the market's re-pricing of risk.

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SelfRugger

· 7h ago

Put options are ridiculously expensive, and sellers are all hiding. Can this trading still go on? Everyone is hedging, no one dares to take the other side. Isn't this just panic? The supply and demand imbalance pushes up the premium, in other words, the market is screaming. Sellers are nowhere to be seen. How panicked must they be... Wait, isn't this a reversal of the bottom signal? Too many people buying insurance could actually be dangerous.

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Blockblind

· 7h ago

Put options are so expensive, who still dares to sell them naked? The risk premium can't be sustained.

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CascadingDipBuyer

· 7h ago

The put option sellers are really absent this time, feeling a bit anxious Everyone is buying the dip, no one dares to take the bait? Insurance premiums have increased, what's going on The supply and demand imbalance is so obvious, the premium is skyrocketing Everyone is scared, right? Feels like the bottom hasn't arrived yet Whoever dares to sell puts in this wave is truly a brave warrior

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NotFinancialAdvice

· 7h ago

Where have all the put sellers gone? Such a profitable activity, why is no one taking it up... Option premiums are so expensive, I really can't afford it. The insurance costs are just too outrageous. With such a hot put option market, does it mean everyone is betting on a decline? Feeling a bit hesitant. The supply gap is so large, are the short-sellers really that timid? Such expensive insurance—what does it mean? Anyway, I can't afford it. Looking at this pace, it feels like something's going to happen. Everyone is piling into put positions. Have the sellers retreated? Then who will take on this risk? This logic makes sense; it's just that the premiums are ridiculously high.

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