As artificial intelligence (AI) technology is witnessing renewed worldwide and cross-industry interest sparked by the release of ChatGPT, the text-based AI platform has proven its worth in analyzing the cryptocurrency market to provide insights into the future price trends of assets such as Ethereum (ETH).
In this context, Finbold has asked ChatGPT to share its predictions on the potential trading range of Ethereum by the end of 2023, and after dutifully stating that it could not predict future prices, it has provided multiple factors that could affect ETH price by the year’s end.
Factors affecting ETH price
Specifically, as for some of these factors, ChatGPT has singled out the overall sentiment and perception of Ethereum within the crypto community and general market, arguing that “positive sentiment, increased adoption, and growing interest from investors may potentially drive the price higher.”
Furthermore, the AI chatbot explained that “the development and implementation of new features, upgrades, and improvements to the Ethereum network can impact its price,” such as the Ethereum 2.0 update, as well as highlighted the influence of the flagship decentralized finance (DeFi) asset, Bitcoin (BTC).
On top of that, ChatGPT said that Ethereum had “a large and active community of developers, users, and supporters,” the growth of which, along with the continued development of decentralized applications (dApps) on the platform, could also positively impact the price.
According to the AI language model, other influential factors include regulatory changes and government policies related to cryptocurrencies, economic conditions and geopolitical events, as well as social media platforms, news articles, and influential figures within the crypto space.
AI ETH price prediction
Meanwhile, the crypto price prediction platform CoinPriceForecast has been able to deliver specific figures on the possible price of Ethereum for the coming years, including by the end of 2023, with the current projection standing at $2,142, which would represent an increase of 15% to the price of the digital asset as of May 23.
Interestingly, the latest year-end numbers are close to the earlier long-term forecast from February 2023, when the same platform placed the price of Ethereum at $2,146 by the end of 2023, although the mid-year figures were a lot more bullish, as Finbold reported on February 23.
More recently, in April, a poll of 32 fintech and crypto experts projected that the price of Ethereum could reach its peak in 2023 at around $2,758. However, after that, they expect the price to start dropping again in the second half of 2023, sinking to the still bullish $2,342 by the end of the year.
Ethereum price analysis
As things stand, Ethereum is currently trading hands at the price of $1,856, recording an increase of 2.18% in the last 24 hours and a 2.13% gain over the previous seven days, as it moves to reverse the 0.84% decline on its monthly chart. Since the year’s start, ETH has grown 54.56%.
Whether Ethereum truly manages to push toward the projected price by the end of 2023 will, indeed, depend on the factors enumerated by ChatGPT, particularly the positive sentiment that could be driven by developments such as record-breaking staking returns after the recent ‘Shapella’ upgrade.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.