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As the political scene in the United States evolves, cryptocurrencies, especially regarding regulation, have become key talking points in the presidential campaign.
In recent years, cryptocurrency’s growing relevance in politics has underscored the sector’s significance in the general financial world. Notably, ahead of the U.S. November 5 election, former President Donald Trump has expressed his desire to support Bitcoin (BTC) if reelected.
For instance, Trump announced support for Bitcoin mining, noting that the sector could serve as the “last defense” against central bank digital currencies (CBDCs), which he opposes. On the other hand, President Joe Biden has reportedly engaged with crypto industry participants on policy matters.
Amid these political developments, the main focus remains on how the crypto sector might be impacted, especially the maiden cryptocurrency. Consequently, the impact will likely be seen in Bitcoin’s performance after the election.
ChatGPT-4o predicts Bitcoin’s price
To determine how Bitcoin will trade after the polls, Finbold turned to OpenAI’s most advanced and recent artificial intelligence (AI) platform, ChatGPT-4o, to gauge the asset’s future performance. The tool offered both bullish and bearish scenarios.
In a bullish scenario, the AI tool suggested that Bitcoin could see a significant price increase buoyed by favorable regulatory developments. Such conditions would likely enhance investor confidence, attracting more institutional investment.
Continued growth in institutional adoption, where major companies and financial institutions integrate Bitcoin into their portfolios and services, could further drive demand and price, as projected by ChatGPT-4o.
Additionally, a stable post-election economy with increased disposable income might spur investment in assets like Bitcoin. Persistent inflation concerns could also drive investors to view Bitcoin as a hedge against currency devaluation, potentially increasing its value.
In this optimistic outlook, ChatGPT’s price target for Bitcoin ranges between $80,000 and $100,000.
Conversely, in a bearish scenario, Bitcoin’s price could decline due to stringent regulatory measures imposed by the new administration or bans on cryptocurrency trading. An economic downturn post-election might diminish investment in high-risk assets such as Bitcoin, exerting downward pressure on its price.
The AI platform also noted that waning retail investor interest, market saturation, or shifts to alternative investments could negatively impact Bitcoin’s price. Moreover, significant technological issues or security breaches within the Bitcoin network could undermine trust and value.
ChatGPT-4o predicted Bitcoin could range between $30,000 and $40,000 in this pessimistic scenario.
Bitcoin price analysis
As of the latest update, Bitcoin has shown marginal gains of nearly 1% over the past 24 hours, trading at $61,590. However, on the weekly chart, Bitcoin has retraced from its peak above $66,000, reflecting a decline of over 5% in a week.
Recently, Bitcoin has displayed a bearish trend, encountering notable resistance around $65,080 and finding support in the $60,000-$61,000 range. These levels are critical in determining Bitcoin’s short-term direction.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.