ChatGPT explains how AI can help Bitcoin reach $100K in 2024

0


Artificial intelligence (AI) can play a role in a scenario where Bitcoin’s (BTC) price reaches $100,000 in 2024, according to GPT-4, the latest version of AI chatbot ChatGPT. 

ChatGPT on the possibility of Bitcoin reaching $100,000. Source: ChatGPT

On Jan. 1, Cointelegraph asked the AI chatbot if Bitcoin’s price could hit $100,000 this year and how AI might play a role in reaching this result. According to ChatGPT, it’s “theoretically possible” for Bitcoin to reach $100,000 in 2024 if a series of favorable conditions align. However, it also noted that this “remains highly speculative.” 

Following this, ChatGPT also provided some general factors that could contribute to such a scenario, including positive regulatory developments, increased retail and institutional adoption, and currency devaluation or inflation. 

ChatGPT on the approval of a spot Bitcoin ETF. Source: ChatGPT

ChatGPT also said that the approval of a spot Bitcoin exchange-traded fund (ETF) could positively impact the price, as it would provide greater accessibility and liquidity to the asset. It also may encourage institutional investors to enter the market, as the approval could be seen as a sign of regulatory acceptance.

Related: Here’s how ChatGPT-4 spends $100 in crypto trading

Cointelegraph then asked ChatGPT how AI could contribute to Bitcoin reaching $100,000 in 2024. The chatbot explained that AI could play a role through its influence on market analysis, trading strategies and broader technological advancements in blockchain. 

ChatGPT explained that AI algorithms can process large amounts of market data and identify trends and patterns that human analysts could miss. It said that AI-driven trading bots could also execute trades at optimal times depending on market conditions, also noting that the bots can react much faster than humans in a fast-paced market environment. 

While there are benefits to using AI in trading, it also comes with significant risks — such as hacking and cyberattacks — according to ChatGPT. In 2022, a trading bot gained $1 million through an arbitrage trading opportunity, but a hacker then tricked the bot into authorizing a malicious transaction, draining all the funds

Magazine: Top AI tools of 2023, weird DEI image guardrails, ‘based’ AI bots: AI Eye