The Crypto Fear & Greed Index, a measure of market sentiment, has returned to "neutral" for the first time since October 2023. This shift occurs shortly after the U.S. launch of spot Bitcoin ETFs, which initially generated considerable excitement.

Currently, the index stands at a score of 52 out of 100, indicating a neutral market sentiment. This is a notable decrease from its peak of 76 in an "extreme greed" state, reflecting the market's anticipation of the ETF approvals.

This metric, which calculates market sentiment by analyzing six key indicators, including volatility, momentum, social media, surveys, Bitcoin dominance, and trends, has dropped to its lowest in three months.

After the SEC's green light for Bitcoin ETFs, Bitcoin's price spiked to $49,000 but soon dropped to around $41,500 as traders cashed in their gains. As of now, Bitcoin's price has stabilized somewhat, trading at approximately $42,200.

Despite the initial enthusiasm for the spot Bitcoin ETFs, there's been some ambiguity regarding their performance and specifics. This uncertainty is mirrored in the significant increase in Google searches for "Why is Bitcoin dropping?", indicating market participants' quest for clarity amidst recent price fluctuations.