The Crypto Fear Greed Index has just plunged back to “neutral” levels last seen in October 2023, just days after the historic approval of spot Bitcoin. ( BTC ) exchange-traded funds (ETFs) in the United States.

According to the index, Bitcoin’s market sentiment score  is currently 52 out of 100 — its lowest score since Oct. 19, 2023, when it traded for an average daily price of roughly $31,000. 

Bitcoin greed index plummets to ‘neutral’ as ETFs fail to buoy prices image 0 The Crypto Fear Greed Index has fallen to its lowest point in three months. Source: Alternative.me

The switch comes less than a week after the Crypto Fear Greed Index briefly tipped into an “extreme greed” score of 76 when the market was anticipating the approval of spot Bitcoin ETFs . 

The index gathers and weighs data from six market key performance indicators to score market sentiment each day: volatility (25%), market momentum and volume (25%), social media (15%), surveys (15%), Bitcoin’s dominance (10%) and trends (10%).

Bitcoin greed index plummets to ‘neutral’ as ETFs fail to buoy prices image 1 The Crypto Fear Greed Index has fallen to its lowest point in three months. Source: Alternative.me

While Bitcoin surged as high as $49,000 in the 24 hours following the U.S. Securities and Exchange Commission’s decision to approve spot Bitcoin ETFs, Bitcoin fell as low as $41,500 by Jan. 12 as traders locked in profits.

Bitcoin has since leveled out slightly and is changing hands for around $42,200 at the time of publication, according to data from TradingView

Related: Bitcoin price sells-off after ETF approval — Have investors turned bearish?

Meanwhile, there has been uncertainty around spot Bitcoin ETFs since their launch, with conflicting data about their performance and a lack of information concerning the more granular details of the new investment vehicles. 

1/ A on why reported BTC ETF flows are incorrect.

There are multiple rabbit holes to jump down. First, let’s point out why the reported flows appear off. Looking at the table from @EricBalchunas (I’m trusting it’s accurate), we can see multiple examples where volume is pic.twitter.com/B2CPYD6VZo

— TardFiWhale.eth (@TardFiWhale) January 14, 2024

According to Google Trends, searches for “Why is Bitcoin dropping?” have surged 1,100% as market participants look for the meaning of recent Bitcoin price action.

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