Generative AI ChatGPT can provide crypto trading advise like any other human being, but being equipped with every piece of data on cryptocurrencies makes it an expert on the topic.
It has a database of past fluctuations in crypto prices, and can track ongoing developments to deliver accurate insights by processing all that information within seconds. ChatGPT can provide real-time market data and news updates, as well as analysis of market trends and patterns.
The user looking for crypto trading tips simply needs to frame the prompt in a manner which makes ChatGPT look for the most relevant information.
From seeking out safe and lucrative investments and calculating risks, to dividing funds set aside for investment accordingly, ChatGPT does it all.
With prices dropping or remaining subdued on one day and suddenly registering a spike on the other, crypto trading is a tricky terrain to navigate for investors eyeing big returns.
This article explores how ChatGPT can crunch data to minimise risks and provide insights on cryptocurrencies for lucrative investments.
1. Giving You Market Statistics
ChatGPT has the ability to skim through the cryptocurrencies and monitor investor behaviour to gauge market sentiment which drives the prices of Bitcoin and Ethereum among others.
It takes seconds to deliver accurate statistics about fluctuation of prices in the past few days, assets considered safe by investors and events that may influence the market.
Ever since Microsoft integrated ChatGPT with its search engine Bing, it opened up ways for the generative AI to search for data in real-time. Thanks to this, traders can count on ChatGPT to provide accurate crypto market statistics for lucrative investments.
2. Explaining Complex Crypto Topics
Complex topics such as crypto mining, blockchain and cryptography can be confusing, but ChatGPT has the database and processing power to simplify those.
With a neural network that considers more than 170 billion parameters at a time, ChatGPT breaks down information on complicated procedures.
It then creates pointers which explain the same phenomenon in the language which is easy to understand for the user. Apart from untangling technical jargon, ChatGPT also has the ability to respond in multiple languages, which makes it easier for users to understand cryptocurrencies.
3. Giving You an Asset’s History
ChatGPT has the ability to reduce uncertainty about the behaviour of a cryptocurrency in future, by tracking the asset’s past performance. From the 2016 Bitcoin surge to the sudden rise of Dogecoin, and the current movements in prices of major cryptocurrencies, ChatGPT can compress all that information within seconds.
4. Providing Market Predictions
ChatGPT has already predicted record highs for Bitcoin by the end of this year, apart from telling users when the cryptocurrency will hit the $100,000 mark.
The generative AI has even gone on to add that a cryptocurrency called AiDoge will deliver returns which are 50 times more than those on Bitcoin.
ChatGPT uses current market trends and past precedents to come up with predictions about existing and emerging cryptocurrencies.
5. Keeping You Updated on Crypto News
Equipped with access to online search via Bing, ChatGPT can access all news in real time and this includes ongoing developments in the cryptocurrency market.
Keeping a track of latest developments through ChatGPT helps investors make informed and timely decisions to protect and multiply their investments.
An Important Note on ChatGPT and Accuracy
ChatGPT can crunch piles of data within seconds, which a lot of people may spend hours on, to deliver crypto trading tips. But that still doesn’t mean that it can guarantee gains for investors, even though its speed and accuracy are higher.
It uses real time market conditions and past performance of crypto assets, but can’t tell if the market will turn volatile the next day or when a cryptocurrency will crash. For instance ChatGPT had also recommended FTX as a trusted crypto exchange before it crashed, and can’t flag a scam hidden with fake data.
ChatGPT Can Be Useful in Crypto Trading
Despite not being able to guarantee 100% returns, ChatGPT can be a helpful tool for crypto trading if users exercise discretion. ChatGPT’s word shouldn’t be taken as the gospel truth and should only be used as an additional insight before making an informed decision.
In a volatile market where it is easy to get confused, make misinformed investments and even fall for scams, ChatGPT does provide essential guidance for exercising caution.
