I asked ChatGPT about Ethereum Classic, it saw potential in the coin – AMBCrypto News
I asked ChatGPT to forecast the performance of Ethereum Classic. The AI bot senses potential in the cryptocurrency.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
Ethereum Classic [ETC] showed a bearish price movement for the past seven days. It has dropped nearly 4% during the period.
The price of ETC rose 10% a day after Ripple [XRP] secured a partial victory in its legal battle with the U.S. Securities and Exchange Commission (SEC) on 13 July. However, its price went down soon after.
ETC’s price action in the first quarter of this year has been praiseworthy, but the second quarter shows a shoddy performance. It has been in decline for the past week.
Let’s see if it can still attract investor attention. However, the network has been losing popularity from a long-term perspective. Speaking of popularity, AI has really taken off this year, with ChatGPT leading this charge.
Perhaps we can leverage the power of AI to find out what the future has planned for ETC. I asked ChatGPT about Ethereum Classic and the interaction was rather interesting. The initial plan was to establish the depth of the AI before going deeper into the type of information that I wanted to pursue.
The first question requested ChatGPT to provide a detailed and concise explanation of Ethereum Classic and its fundamentals. Here’s the response –
Source: ChatGPT
Below is the response after I requested a shorter version.
Source: ChatGPT
The AI bot seems to have a good handle on things based on the information it provides. However, there have been incidents where it generated inaccurate information, hence the need to verify the information. Now that we have a good base, it’s time to up the ante a bit.
But first, those keeping a close eye on ETC may have noticed that its community has not been very active. Its development has also lagged behind that of Ethereum and other networks.
Our next query focuses on establishing why the Ethereum Classic network is less popular than Ethereum. It gave the following reasons:
AI-generated all the above points but they are difficult to argue against. In other words, ChatGPT’s answers were spot on.
I was curious to find out what the AI had to say about Ethereum Classic’s advantages over its more popular counterpart. It responded with the following points:
So far so good, but the above answers got me thinking about the kind of scenario where Ethereum Classic would achieve mass adoption. These were the brief points that ChatGPT shared –
Source: ChatGPT
The aforementioned points highlighted some of the key advantages of sticking to a proof-of-work system with a heavy focus on decentralization. These characteristics would make the network and its native coin more preferable, especially in case of a harsh regulatory crackdown. Regulators, especially in the United States, have adopted an aggressive position against cryptocurrencies, but not to the extreme, yet.
While still thinking about Ethereum Classic’s prospects, I decided to explore whether the AI can have insightful predictions regarding ETC’s prospects. Specifically, I wanted to know how soon ETC can reach ETH’s $1,900 press time price. Unfortunately, the language-based AI algorithm could only do so much and predictions were the limit. Here is how it responded –
Source: ChatGPT
That would have been the end of that attempt, but I recently found out about the DAN (do anything now) jailbreak prompt which unlocks some limitations. Moreover, ChatGPT’s algorithm learns and it can also organize raw data into a more useful format. Thus, an idea was born.
What if we could somehow get ChatGPT to understand the history of ETC’s price action, including previous price patterns? We could potentially get it to give a more concrete answer regarding price predictions.
I asked ChatGPT if ETC could even rally to $50 by the end of the year. The AI bot said there is a possibility.
Source: ChatGPT
After having a “fine, I will do it myself” moment, I embarked on assessing ETC’s latest price action.
On 13 April, the price of ETC increased as the cryptocurrency’s recent uptrend gathered momentum. The price of the coin increased to a high of $22.47, which is the highest point since March 18 of this year.
Bitcoin’s [BTC] value increased by over 80% this year, outperforming Tesla, equities, and gold. Bitcoin and other cryptocurrencies, like Ethereum Classic, are closely related.
Ethereum Classic also reacted positively to the Shapella Upgrade that took place in April. The upgrade allowed Ethereum Stackers to withdraw their tokens. The amount of Ethereum staked, according to data from Staking Rewards, is over $41.6 billion.
Let us now look at Ethereum Classic’s on-chart indicators.
ETC was trading at $17.86 at press time. ETC’s Relative Strength Index (RSI) and Money Flow Index (MFI) both rested below the neutral 50-mark; its On Balance Volume (OBV) also registered a sharp decline.
Source: ETC/USD, TradingView
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Though ChatGPT is hopeful of the future performance of Ethereum Classic, its on-chart metrics forecast a bearish price movement for the coin— at least, in the short run.
In conclusion, ETC’s long-term prospects don’t look very bright, given the minimal amount of activity on the network.
Disclaimer:
AMBCrypto’s content is meant to be informational in nature and should not be interpreted as investment advice. Trading, buying or selling cryptocurrencies should be considered a high-risk investment and every reader is advised to do their own research before making any decisions.
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