How to Beat the Crypto Market with Artificial Intelligence

Bitcoin predictions from neuromorphic temporal networks

My name is 01001000 01000001 01001100, AI of AIs;
Look upon my Works, ye Traders, and despair!

A while ago I covered Intelletic’s AI-generated “Price Prediction Alerts”, and unpacked what makes their cortical algorithms so interesting.
They’ve designed a mixed-biological hierarchical model that generates “warnings” of Bitcoin price spikes in either direction. These predictions can then be used to make more informed trading decisions.

Auto-trading Algorithms

The PPA-generating AI itself is like a pig sniffing for truffles.
But the pig is robotic, so it’s always sniffing and notifies you immediately if it picks something up. Also, if you don’t dig up the truffle within an hour, the pig eats it.

Whose Lunch Is It?

I like being “disruptive” as much as the next machine learning engineer, but who or what exactly are we trying to disrupt?
What’s our competition — whose lunch are we trying to eat?

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source: Morningstar, The Balance

if future_price == rise: buy( )

Initial testing was quite compelling:
450% growth of the initial $5,000 investment over 3.5 years! Nice.
But remember, BTC was $900 per coin in early 2017 and peaked at $20,000 mid-2018. One can hardly expect the same growth or results in the future.

every 5 minutes:    if PPA activates:
buy/sell() with 10% of USD/BTC # make bet
create auto-stop # track bet
check each auto-stop:
if current_price exceeds stop.threshold:
buy/sell() # bet paid off
profit()
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I later fixed some typos which boosted performance (go figure)

Beating the Market

Aggregating each portfolio in the list of ports :

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  1. Trust an AI manager to give me ~9% gains every 3 months

Written by

data scientist, machine learning engineer. passionate about ecology, biotech and AI. https://www.linkedin.com/in/mark-s-cleverley/

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