ChatGPT4o dictates the Bitcoin price as Mt Gox prepares to offload 9 billion worth of BTC
Bitcoin’s current struggle with bearish sentiments is expected to worsen as the market prepares for a potential influx of capital. This anticipation stems from the upcoming repayment of approximately $9 billion worth of Bitcoin by the defunct crypto exchange Mt. Gox, starting in July 2024. These repayments mark the end of a decade-long ordeal for creditors since Mt. Gox ceased operations in 2014 following a hacking incident.
At its peak, Mt. Gox handled over 70% of all Bitcoin transactions worldwide. However, it abruptly halted trading and went offline, resulting in significant financial losses for many investors. The repayment process will also involve approximately $50.8 million in Bitcoin Cash.
The magnitude of this repayment is significant, equivalent to negating over half of all exchange-traded fund inflows in one go, according to Bloomberg senior ETF analyst Eric Balchunas.
The offloading of such a large amount of Bitcoin into the market could impact its price, which is already facing bearish pressure. To gain insights into how low Bitcoin could potentially go in this scenario, Finbold consulted OpenAI’s latest and most advanced artificial intelligence tool, ChatGPT-4o. This AI tool considered technical analysis, support and resistance levels, moving averages, broader economic indicators, regulatory news, and trends in financial markets. Based on these factors, ChatGPT-4o predicts downward pressure on Bitcoin prices in the near term.
ChatGPT-4o identifies key support levels to monitor, including $58,000 to $60,000, $55,000, and $50,000. If Bitcoin breaks below the $50,000 mark, further declines towards $45,000 are anticipated. However, despite short-term bearish pressures, ChatGPT-4o maintains a bullish long-term outlook for Bitcoin due to increasing institutional adoption, decreasing new supply, and growing acceptance as a store of value.
For investors seeking to take advantage of potential dips, ChatGPT-4o advises monitoring key support levels, looking for signs of price stabilization or reversal, and tracking indicators of reduced fear or increased investor confidence. Once the impact of the Mt. Gox repayments is absorbed, selling pressure could subside, leading to a more favorable market condition.
In terms of recent price movements, Bitcoin is likely to lose the $60,000 support unless a significant market-moving incident occurs. As of now, Bitcoin is valued at $61,120, having dropped nearly 5% in the past 24 hours. On the weekly chart, the asset has fallen over 7% after losing the $66,000 support.
In conclusion, if Bitcoin loses the $60,000 support, further losses in line with ChatGPT-4o’s prediction can be expected. However, it’s important to note that the content provided should not be considered investment advice, as investing in Bitcoin carries speculative risks.