All About AI In Crypto and Blockchain: New Tools In Cryptologist!

Cryptocurrency: An Emerging World

Today's world is characterised by the fascinating phenomenon of cryptocurrencies. Digital coins, which have quickly acquired popularity and are now quite useful in various areas, continue to be a very profitable investment, with the potential to generate enormous returns on cryptocurrency exchanges or when investing in these assets over the long term.

What Is AI?

AI (Artificial Intelligence) is the capacity of a digital computer or robot operated by a computer to carry out actions frequently performed by intelligent beings.

The phrase is widely used to refer to a project that involves creating computer programs with the intellectual capacity that distinguishes humans from other animals, including the capacity to reason, find meaning, make generalisations, and learn from past failures.

Use Cases for Blockchain and AI Combined

A combination of AI and Blockchain is quite powerful as it improves every industry virtually. This integration also offers a shield against cyber-attacks which makes it widely popular.

With the help of AI, it is possible to

• efficiently mine through large datasets,
• develop novel scenarios, and
• identify patterns in data behaviour.

In return, the blockchain's role is to remove fraudulent data and bugs. A decentralised blockchain architecture can be used to authenticate new classifiers and patterns created by AI.

So, this combination is applicable to any business, including the crypto industry. AI marketing automation can be created using client data that has been collected using blockchain technology.

Why Do Crypto and AI Can Work Together Effectively?

The future of crypto, AI, and the global economy is becoming increasingly intertwined. As we edge closer to a future where machines make most of the decisions around us, some argue that a partnership between ِAI and crypto will revolutionise our world.

AI and blockchain are two critical technologies more in harmony than ever before. AI can recognise patterns in price data (the charts) and forecast how the price will move next.

Using Machine Learning, AI in crypto can encode predictive models for specific financial time series, enabling investors to know what’s coming down the road before it happens.

Then, automation provides a range of recommendations (automated trade executions or automated trading strategies) to make better investment decisions.

How Does AI Solve Problems of Investing In Cryptocurrencies?

Although cryptocurrencies have risen in popularity rapidly, investing in them has several difficulties, including technological challenges. It takes a lot of time and expertise to comprehend the incredibly unpredictable cryptocurrency market and carry out investments.

Asset managers are increasingly turning to Artificial Intelligence (AI), Machine Learning (ML), and Natural Language Processing (NLP) to manage crypto assets in fund portfolios as more tech-driven tools become available.

AI and machine intelligence are proving helpful as institutional investors' interest in cryptocurrencies grows. Blockchain technology is the foundation of cryptocurrencies, and AI in crypto can interact with blockchain to solve various issues.

What Advantages Does AI Bring to Crypto Market?

So far, we have learned that the business world of cryptocurrency gains a lot from AI. Let’s see what these benefits actually are.

• AI can enhance customer experience through chatbots, i.e., intelligent virtual assistants that can answer questions about products or services and provide helpful advice. 
• AI helps us understand the crypto market with all tools it provides, including future price trends, market sentiment analysis, community detection, etc. 
• AI can be used to exchange cryptocurrencies securely. It helps reduce the risk of fraud or money laundering activities. 
• AI also helps avoid any error in digital transactions, which may lead to losses for both parties involved.

Moreover, AI-based technology in cryptocurrency can bring about the accuracy, the ability to analyse large amounts of data, learning ability, and high-speed performance.

How Can AI Help Us Better Understand The Crypto Market?

As blockchain represents a new way of doing business, the impact of AI on cryptocurrency is super exciting. Here are the key ways that AI can affect cryptocurrencies significantly.

• Crypto Market Predictions
• Sentiment Analysis
• Data Analysis 
• Social Media Analysis
• News Analysis
• Trading Analysis
• Crypto Community Detection

Top AI Crypto Trading Bots in 2023

The rise of AI and Machine Learning made trading bots an integral part of the industry. They bring major convenience for traders and make the market process faster.

Many users who just recently started their cryptocurrency trading have become overwhelmed by the number of options presented to them by AI-based bots.

Therefore, it can be daunting for them to take any decision at this point. Different websites brought different categories of trading bots that work based on AI.

Here are the top 5 bots that we believe work well:

1. Shrimpy
2. Pionex
3. 3Commas
4. CryptoHopper
5. Trade Sanata

Don’t take this section as advice to use these bots. Do your own research before making decisions.

Top AI Cryptocurrencies

Currently, there are more than 50 AI cryptocurrencies, but we all know that not all of them are reliable. Here, we take a look at the top 5 AI cryptocurrencies that could become the mainstream solution to the problem of global governance.

However, we again declare that this is not financial advice, and you need to do your own research before making any moves in the crypto market.

1. Ocean Protocol
2. Fetch.ai
3. Numeraire
4. SingularityNET
5. Velas

AI and Crypto Meet at Cryptologist!

What we are doing at Cryptologist is providing all the tools mentioned above for the users to fully use the potential of AI in their daily crypto market analysis. We have accomplished the first AI+Crypto project regarding sentiment analysis.

Also, the tools regarding data, news, and social media analyses are in their final steps.

But it is not the whole story! We will be back very soon with AI-based Bitcoin price prediction that will be available for public use for FREE!

Summary

Now that you made it here, you have learned the general benefits of AI in the crypto world. It is an innovative technology that can help everyone - from newbies to professional investors - achieve their investment goals efficiently and securely.

We are on the way to bringing you a full package of all must-have tools, including Crypto Market Predictions, Sentiment Analysis, Analysis of Data, and Social Media Analysis.

FAQ

Here are the most frequently asked questions about AI in crypto and blockchain. Keep reading to find answers to all your questions! 

Is AI Used In Cryptocurrency?

Yes, AI in crypto has many applications and usages. For instance, AI is used to predict future prices of cryptocurrencies to help investors make more confident decisions. Moreover, AI in crypto can help detect fake news in the market.

Is AI and Blockchain The Same?

No, AI is different from the blockchain. Blockchain is a decentralised, immutable ledger that allows many parties to exchange encrypted data instantly, transparently, and simultaneously. At the same time, AI is the technology that enables computers to mimic the human brain’s decision-making and problem-solving capabilities.

Why Is The Relationship Between Blockchain and AI Important?

Understanding the link between blockchain and AI is necessary because, when used together, they can produce extraordinary outcomes. For example, the explainability problem of AI in crypto can be solved by integrating AI with blockchain technology.

What Is AI Crypto Trading?

AI in crypto trading refers to using AI to automate trading in the crypto market. The main objective is to use AI capabilities to increase profits and reduce risks.