As Bitcoin (BTC) is fast approaching its next halving event, during which the algorithm will cut in half the reward for mining the cryptocurrency, many crypto traders and investors are wondering about the price of the flagship decentralized finance (DeFi) asset once this happens.
With this in mind, Finbold has consulted GPT-4, the fourth iteration of the OpenAI brainchild ChatGPT, to provide insights regarding the price of Bitcoin after the 2024 halving, taking into account the importance of this event, as well as its price movements in the previous halving events.
ChatGPT-4’s expectations for Bitcoin
As it happens, using the above factors as a basis for its predictions and a premise of a consistent market behavior pattern, the artificial intelligence (AI) chatbot synthesized the available information and offered its prediction for the price of Bitcoin following the April halving, from the standpoint on February 26.
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Specifically, ChatGPT-4 observed that “looking at historical trends, Bitcoin’s price has typically rallied in the year following halving events, with noticeable price increases,” giving an example of the asset surging from about $10 to $1,000 within a year after the 2012 halving.
Similarly, the AI bot noted that Bitcoin’s price rose from around $600 to $20,000 in the year after the 2016 halving, concluding that a similar increase could happen to the maiden crypto asset this time around, setting the possible target in the range around $179,000 by August 2025.
“Given these trends, it’s feasible for Bitcoin’s price to increase after the 2024 halving. One prediction based on historic price action indicates that Bitcoin might reach approximately $179,000 by August 2025.”
That said, ChatGPT-4 acknowledged the difficulty of predicting the precise impact of the halving event on Bitcoin’s price “due to the influence of various economic, regulatory, and technological factors,” which is why “it’s essential to bear in mind that these figures are speculative and hinge on a wide array of unpredictable factors.”
Bitcoin price analysis
Meanwhile, the largest asset in the crypto sector by market capitalization was at press time changing hands at the price of $51,262, which suggests a mild decline of 0.72% in the last 24 hours and a 2% drop across the previous seven days while hanging onto the 22.79% gain on its monthly chart.
At the same time, the price of Bitcoin currently stands above all of its exponential moving averages (EMAs), suggesting a ‘strong buy,’ with the support level at around $48,180 and the next nearest resistance in the zone around $53,783, according to the latest data retrieved by Finbold on February 26.
All things considered, Bitcoin might be looking at a significant price increase in the year after the next halving, perhaps even to ChatGPT-4’s target of close to $180,000, as the amount of BTC entering the market will reduce at this point, thus increasing the demand and, with it, the price.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
