The story
From the stereotypes that people from India wear the Hindu bindi (dot) on their forehead, while Native Americans wear feathered headpieces.
Etymology from Wiktionary, CC BY-SA 4.0.
Today it means: Expresses that a person described as "Indian" is from the country of India, as opposed to being of Native American (American Indian) background. Full definition →
From the stereotypes that people from India wear the Hindu bindi (dot) on their forehead, while Native Americans wear feathered headpieces.
Etymology from Wiktionary, CC BY-SA 4.0.