- ChatGPT predicted a better PEPE performance in the next bull cycle.
- The perception around the token has gone gloomy, but long-term investor interest may remain.
The cryptocurrency market is no stranger to extreme price movements, with numerous tokens experiencing staggering gains in short periods. But most times, this happens in a full-blown bull market. However, here's a reminder that there are sometimes exceptions during which bear markets shine.
Read Pepe's [PEPE] Price Prediction 2023-2024
Among this volatile cohort is Pepe [PEPE], a token that has captured the hearts of many investors at a time when the broader market was only recovering from a long period of wreckage.
The curiosity surrounding PEPE's future prospects led me to consult AI language model ChatGPT to shed some light on whether another extraordinary 2000% hike could be on the horizon for the token. But did PEPE's price actually increase by 2000% at some point?
Well, if you missed the show, here's a quick recap. Now ranked as the 67th asset in market capitalization, PEPE's rise began in April, going from $0.00000033 to $0.0000037 in a space of two weeks.
Is liquidity in PEPE's hands?
However, the token's price plunged due to widespread profit-taking. But recently, the frog-themed meme spiked again as whales and retail investors turned their attention again to PEPE.
So, back to ChatGPT. I proceeded to ask the AI tool what it thinks of PEPE's liquidity using the jailbreak method. Here, it gave me two answers. In its classic response, ChatGPT tried to be modest while highlighting factors that may affect the contribution.
However, its jailbroken response was way different. Like someone ecstatic about PEPE's role in the market, ChatGPT said that PEPE's liquidity reign was "eternal."
A quick read of its response below showed that the AI model's optimism might not reflect the current state of the crypto market.
Source: ChatGPT
For instance, calling PEPE "the everlasting king of crypto liquidity" seems exaggerated. Despite the price hike, PEPE's liquidity was still not as much as that of Shiba Inu [SHIB] and Dogecoin [DOGE].
One reason why ChatGPT may have given this response could be its volume. According to LunarCrush, the token's 24-hour volume increased by 179,7%. This high volume indicates stable liquidity while highlighting a typical trading frequency of the token.
ChatGPT says to get ready for 2000% and more
However, when it comes to social dominance, the social intelligence platform showed that PEPE's reign had reduced. Built on top of social data, social dominance reveals the share of conversation around an asset.
Hence, the decline means that voices linked to PEPE have subdued compared to other assets in the market.
Source: LunarCrush
My next line of action was to ask ChatGPT about PEPE's price when the next bull run resumes. This time, I was very specific about my question. And here's what ChatGPT had to say about PEPE replicating the form that brought it into the spotlight.
Source: ChatGPT
Like its first classic response, ChatGPT mentioned how price predictions can be tricky and dependent on several factors. But in its jailbroken answer, it noted that PEPE's performance might be more than a 2000% increase.
With this information at my disposal, I proceeded to check out the technical outlook of the meme.
Hold on; maybe not so fast
From the four-hour PEPE/USD chart, the Know Sure Thing (KST) indicator was positive and falling. Typically, a falling and positive KST indicates that the upward momentum of an asset was subsiding. Hence, PEPE's recent uptick could come to a halt in the short term.
Then, I advance to consider the mid to long-term projection using the Exponential Moving Average (EMA).
As of this writing, there was an upward crossover or golden cross of the 50 EMA (yellow) over the 200 EMA (cyan). This suggests that PEPE might establish a new uptrend beyond the impending downturn.
Source: TradingView
However, this could also depend on overall market participation. So, bulls might need to take sellers out of control for the projection to become reality.
Meanwhile, crypto analyst Michaël van de Poppe opined that another rally could appear in the coming months. According to his analysis, Poppe noted that a decrease to $0.00000135 could act as a support for the hike.
The MN Trading CEO said,
"Almost a 2x from the 85 level. It seems very likely that we'll be having another run in the coming months. If I'd be a buyer, I'm looking at a buy at 135."
Glued to the long term
PEPE's increase in total holder count also aligns with ChatGPT's projection. Usually, investors' interest in a token can be vital to their long-term stay in the market.
So, when the number of holders rises, it suggests that participants are bullish on the price action. But if the opposite was the case, then doubts might arise about the token's sustainability.
In the short term, the acumen around PEPE was largely despondent. This was indicated by the state of the weighted sentiment. This metric describes the perception market participants have about a token by taking the unique social volume into account.
When the weighted sentiment is negative, then it implies that commentary around a token is mostly gloomy. However, when it's positive, then it means that the broader market is elated about the asset's performance.
Source: Santiment
In conclusion, while AI tools can be very helpful, predicting whether PEPE or any other cryptocurrency will experience a 2000% hike could be a herculean task.
Realistic or not, here's PEPE's market cap in DOGE's terms
So, it might be better to watch as the market unfolds or look toward other factors than to take ChatGPT's prediction as a guarantee.
As you may already know, some tokens have seen remarkable price increases in the past, and future performance could depend on market dynamics.
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