"It's created fear and panic through the entire community," Melissa Balin, who said she has been living at the 1.7-acre park since the start of the protest nearly two months ago, told the Los Angeles Times.
Others, however, said they would stay unless forced out.
One woman pointed out protesters had never asked for permission before putting up tents.
"This is an occupation," said the woman.
The signs, warning the park's hours are 5 a.m. to 10:30 p.m., were put up by the city's General Services Police Department Thursday, the Times said.
But while the signs said no one could stay in the park during those hours, Los Angeles Deputy Police Chief Jose Perez Jr. said, "Contrary to reports in the social media, the park is not being closed tonight and we are not going into the park tonight to remove people."
Los Angeles officials have said they want the protesters off City Hall grounds by next week
On Thursday, protesters celebrated Thanksgiving, eating donated food, including ham and biscuits, and chicken. The city police department chipped in, donating two stuffed turkeys.
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