Bitcoin (BTC) has seen its value fluctuate significantly over the years, moving from as low as $200 to an all-time high of $20,000 in December 2017. However, after the crypto’s price rally, the market plummeted and saw BTC’s value drop back down to about $3,000 in early 2018. Nonetheless, the cryptocurrency surged past its previous all-time high in late 2020, reaching a price of over $68,000 in November 2021. Despite this, the following year marked a new era of bearishness, driving BTC’s price down to a two-year low of $15,000 by November 2022.
With the ever-changing cryptocurrency market, developing a successful trading strategy can be difficult. Fortunately, the AI-based platform ChatGPT was launched in November 2022, offering traders and investors a powerful tool to utilize. ChatGPT allows users to analyze news, social media, and other unstructured data sources to form a comprehensive technical analysis for BTC trades. This can help BTC traders to gain insights into market sentiment and price movements. Furthermore, ChatGPT also provides support for technical analysis and coding customized trading bots for different trading platforms.
To gain a better understanding of trading with the assistance from ChatGPT, I spoke to Brian Quinlivan, the Director of Marketing at Santiment and an experienced BTC trader. According to him, ChatGPT could revolutionize crypto trading, as the amount of information it can digest is extensive, and it can give straightforward answers about whether to buy or sell. However, he warned that its opinions could be uniform, which could end up having dangerous consequences. Brian further suggested that BTC traders and investors could use ChatGPT to perform sentiment analysis and technical analysis to make better investment decisions.
ChatGPT is unable to project future price movements of BTC. However, when pressed with the question of whether BTC will reclaim the $30,000 psychological price mark in light of the bearishness in the market, ChatGPT reported that its price is expected to continue increasing due to increased adoption by companies and individuals, as well as its appeal as an inflation hedge.
ChatGPT is a powerful AI-platform that can help BTC traders navigate the ever-changing and unpredictable crypto market. By using the tool correctly and applying it to form successful strategies, traders can make better-informed investment decisions for their future profit.
Santiment is a platform for cryptocurrency market analysis focused on on-chain, social media and development data. Santiment has been around for a few years and has a developed a deep, thorough understanding of the digital asset space. Using various tools, data sets and knowledgeable teams, Santiment provides insights into the ever-changing conditions of the digital asset markets. With their average directional index, Santiment is able to measure the potential of any given asset. Its blockchain data, combined with other relevant data sets and metrics, can also give investors insight on how to make the right decisions.
