Bitcoin neural network analysis week 26/2018: Still no signs for a bullish break

in #bitcoin6 years ago

Analysis of past week:
After the big losses past weeks, the neural network predicted a short recovery and then back to even more losses. This was exactly what happened and the network strategy to flee into fiat was solid.

I am comparing three strategies, first hold fiat and make a small profit elsewhere, hold bitcoin, or follow the network predictions. Since I started documenting my predictions on the blockchain these strategies compare as

Fiat with a weekly profit of 0.5%: 12463.07$ (up 0.5 %)
Holding BTC: 6173.23$ (down 5%)
Network strategy: 7369.06$ (up 0.5%)
Starting capital: 11497.40$

The fiat strategy is up since most of the documented time has been a bear market, but the neural network has gained an advantage over btc.

Forecast:
download (19).png
Red areas are predicted below the current price, blue/yellow areas indicate the expected passive growth, green areas are better than the expected growth. The vertical line is one week into the future and its size provides the prediction variance. The network prediction is smooth as the random noise is filtered out.

The network again sees a recovery early this week, but it is shortlived and the target for end of the week is 6182.96$. In the long term the network does not predict any significant moves up or down, and a further continuation of sideways trading.

For the next week the network slightly prefers fiat over bitcoin. So my strategy for the coming week is once again to hold fiat.

This post is not financial advice! I am testing the potential to use neural networks for price predictions and am documenting my results on the blockchain to have provable public results. All prices are based on 0:00 UTC for consistency!

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Currently market is manipulated by whales that why it is unpredictable where btc is going near couple of weeks

The great thing about neural networks is, that if this has happened in the past, the network may find the signs for it and still predict accurately.

However, I am personally not aware of manipulation and the network is a big black box and only outputs expected prices. But the prediction seems to support your statement.

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