Artificial Intelligence Allegedly Predicts $1,000 Bitcoin Price Drop Using Social Sentiment Analysis
AI Signals Notice Possible Trends as to Why Crypto Prices Dropped
A recent post shared by CCN revealed that an individual/group held a 10,000 BTC short position. The reason as to why was unclear until an AI-based cryptocurrency signals platform was able to capture reoccurring trends.
As for the claims made, many have speculated that news surrounding Goldman Sachs could have influenced the price of Bitcoin [BTC], as the investment firm has previously made headlines for potentially entering the crypto sphere. More stories were developed, in which many strongly believed that it could either be a market manipulation or insider trading. Clearly, assumptions remained as is, as no sound evidence was presented.
The reason why investors and analysts found it to be an unusual trend is partly due to the significant drop which was not supported by any prominent news. Given the fact that 10,000 BTC is equivalent to nearly $70 million, the drop is something no one could have possibly missed.
The report also broke down a line chart dubbed, “Social Sentiment Broke Above 3 Standard Deviations Minutes Before Drop”, which clearly reflected fluctuations in “social sentiment” and every time it occurred, the AI-based crypto signal, belonging to RoninAI team, naturally reacted to it. Further analysis showed that the increases occurred above 3 standard deviations from the mean, which has been deemed “unauthentic”.
The supposed drop occurred 10 to 15 minutes prior to the crypto price’s sudden drop, which allegedly was enough to assume that it could have been some form of manipulation. Whoever sold their BTC holdings is bound to recollect it, which means that prices are likely to go back up.
As for the need to potentially manipulate the market was noted by CCN as the interest in investing when prices are lower. Since Goldman Sachs has been sitting on the sidelines thus far, a drop in price could potentially lure them in.
What are your thoughts on this report? Is it obviously the works of market manipulators and whales? Let us know in the comments below!