It'll only make the market keep going higher. Listen folks, there are professional day traders at major brokerage firms who gang up to beat the small investor. These guys have access to level three, they see people buying puts so they will short them, and unlike almost all of us, they have 5 million to play around with, and then gang up and can have a huge amount to push the market to their profit. My advice for those who have puts, is to wait it out and don't buy any more. Yes the maxium pain will be really bad, so don't even look at your computer screen.
It's impossible to time the market, and you're 'fighting the feds' , your fighting the current. Go with the flow and consider hedging, at least to protect yourself. When the market was at 13K, who would have predicted it would go to 13,500? and now it's at 13,600, and it looks strong. Who's to say it won't go to 13,800? or 14,000? I think those who bought puts got to greedy, and while the market is unpredictable, human behavouir isn't, I keep seeing the same posts over and over whenever the market is up, or a particular stock is at an all time high.
bottom line, is my suggestion, to protect your puts and don't buy any more.
This market has been driven by more than some guys sitting there selling puts. While I agree, that markets are manipulated for option purposes, this is not the reason for the market going up 3000 points in less than a year.