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

The chatbot said AI could play a role in pushing Bitcoin’s price up through its influence on market analysis, trading strategies and blockchain tech development.

On January 1, when Cointelegraph queried the AI chatbot about the possibility of Bitcoin reaching $100,000 in 2024 and the potential role of AI in achieving this milestone, ChatGPT cautiously acknowledged the theoretical possibility, emphasizing its speculative nature. The chatbot outlined several general factors that could contribute to such a scenario, including positive regulatory developments, increased adoption from retail and institutional investors, and concerns about currency devaluation or inflation. Additionally, ChatGPT suggested that the approval of a spot Bitcoin exchange-traded fund (ETF) might positively impact the price by enhancing accessibility and liquidity, potentially attracting institutional investors due to perceived regulatory acceptance.

In response to how AI could contribute to Bitcoin’s surge, ChatGPT highlighted its potential influence on market analysis, trading strategies, and broader technological advancements in blockchain. The chatbot explained that AI algorithms excel at processing extensive market data, identifying trends and patterns that may elude human analysts. Furthermore, it mentioned that AI-driven trading bots could execute trades optimally based on market conditions, boasting faster reaction times than humans in dynamic market environments.

However, ChatGPT underscored the significant risks associated with employing AI in trading, such as vulnerabilities to hacking and cyberattacks. As an example, the chatbot recounted an incident from 2022 where a trading bot garnered $1 million through an arbitrage trading opportunity. Unfortunately, a hacker exploited the bot, manipulating it into authorizing a malicious transaction, resulting in the loss of all funds.