Bitcoin’s (BTC) value has seen its fair share of ups and downs over the years. From hovering between $200 and $1,000 for a long period, BTC’s value rocketed up to almost $20,000 in late 2017, only to plummet back down to around $3,000 by early 2018. But the world’s largest cryptocurrency made a comeback in 2020 and hit all-time highs. However, in November 2022, it was trading at a two-year low of $15,000, and investors are now hoping for a recovery to the $30,000-level.
In light of seemingly bearish factors, ChatGPT, an AI tool capable of sentiment, fundamental, and technical analysis, was asked whether BTC will reclaim the $30,000-figure in 2023. The AI model said that, based on current macro conditions, it predicts significant growth for BTC between 2023 and 2024, driven by increased adoption by companies and institutions and BTC’s status as an inflation hedge.
Despite its limitations in making future predictions, ChatGPT can enhance trading strategies by offering investors accurate insights garnered from a wide range of unstructured data sources, including social media posts and news articles. Users can leverage its sentiment analysis capabilities to determine the market’s mood and make more informed decisions.
Additionally, ChatGPT can perform technical analysis functions and code any technical indicator or trading bot for any trading platform. The AI leverage text-based insights and coding to create better trading strategies.
Overall, while Bitcoin’s volatility may induce uncertainty, traders and investors can make informed investment decisions through well-crafted trading strategies that consider expert analysis, market news, and intelligent AI-powered tools.
