Coinscious Lab Combines AI And Blockchain To Introduce A Cryptocurrency Prediction Market
Coinscious, a data and trading analytics provider announced on Tuesday its plans to dwell into the price prediction of cryptocurrencies despite the wild volatility in the industry. Speaking at the “BlockShow Americas 2018”, Daniel Im, CEO and Co-founder of Coinscious Inc., launched the “The Coinscious Lab” and a series of machine learning based tests to provide analytics and prediction to the crypto price market. The platform aims at assisting the traders in crypto built efficient portfolios and simulate new trading strategies.
The cryptocurrency markets have heavily been plagued by the increasing manipulation of prices due to misinformation or lack of education across the market participants. This has caused a slow adoption process to both cryptocurrencies and blockchain technologies. As blockchain technology and cryptocurrencies gain base in today’s tech world, AI and machine learning is moving at a similar pace to gain adoption across the globe. However, the increasing risks associated with robotics and artificial intelligence to humans keep many skeptical in adopting the new technology.
These problems created by both the manipulated cryptocurrency markets and the uncertainty in integrating AI and machine learning to daily lives can easily be solved by Coinscious new synergized platform.
“Coinscious is a data and trading analytics provider for the cryptocurrency market. The Coinscious Collective platform helps crypto traders build their portfolios and simulate their trading strategies. Coinscious provides information that is hard and cumbersome to obtain, seeking patterns and uncertainties within this data — providing feedback such as warnings and opportunities to traders.”
Understanding The Cryptocurrency Predictive Market
The crypto market has been one of the most volatile markets to ever exist. During the crypto prices boom at the tail end of 2017 and the start of the year, most of the digital assets hit 100%+ in returns before they sharply dropped by over 80% since then. This is heavily attributed to the cryptomarket having various factors influencing the price.
Bitcoin price, developmental progress and regulation are bounded in a complex relationship that most trader can’t get their head around while most of these markets are also manipulated given some investors hold huge amounts of these cryptocurrencies.
The challenges to predicting the market range from the manipulation of the price, misleading information from pump and dump groups, inconsistency in price signals, extreme volatility and irrational trading behavior and most of the calculation requires massive computing power to predict.
The Coinscious Lab – Creating The Predictive Model
As the cryptocurrency model faces its own share of problems and challenges, Coinscious Lab is tirelessly working towards ensuring the practical application of AI is possible with a predictive machine for cryptocurrency prices. The company aims at assisting individuals around the world better understand some of the world’s most complex systems, including cryptocurrencies.
Collection Of Data
As explained above, the relationship between the factors affecting cryptocurrency price is very complex and it may take people significant amounts of time and energy to collect information from reading financial news and historical prices to better prediction models. The large amounts of data may be exhausting for a trader to process and create a predictive model hence the need for AI and machine learning to process large data sets quickly and use news sources such as the Financial Times, The Washington Post, or Twitter to provide key insights.
Auditing The Data
The current availability of vast amounts of data is both an advantage and disadvantage to the average trader as every stage presents fake or misleading information that affect the evolution of effective and profitable trading strategies especially to the novices and newbies. The Coinscious Lab aims at creation of a predictive machine integrated with deep machine learning tools to provide efficient solutions.
The system collects massive amounts of data into a neural network, in this case cryptocurrency-related data and classifies the data into different sections to provide efficient model formations and visualization for bots.
Predicting Crypto Prices
The system works similarly to the human brain whereby deep learning uses multiple layers to process data inputs and turn it into predictions. AI and machine learning filters out inaccurate information and this ensures a more accurate prediction on crypto markets. This also applies to data that has been manipulate or a pump and dump scheme on the system which are filtered hence allowing traders to obtain the accurate data to trade. Finally, the Coinscious system will offer exchange and ratings of the cryptocurrencies and determine whether a party is a miner, an exchanger, or a project owner.