The cryptocurrency market experienced a bull run following the US presidential election, but hit a snag when the Federal Reserve announced fewer rate cuts. Bitcoin’s price dropped from an all-time high to $92,000 in December, with altcoins following suit. However, Bitcoin recovered to $96,551 by press time. Analysts are mostly bullish, but some predict a short-term correction. To help navigate this volatile market, Finbold consulted OpenAI’s most advanced large language model to construct a $1,000 cryptocurrency portfolio for the coming year.
The AI model suggested allocating 70% of the portfolio to blue-chip cryptocurrencies like Bitcoin and Ethereum. Bitcoin, making up 40% of the portfolio, was chosen for its increasing institutional adoption and utility as a store of value. Ethereum, comprising 30% of the portfolio, was selected for its expanding ecosystem and adoption by enterprises. The remaining 25% of the portfolio was allocated to high-potential altcoins, including Solana, Polygon, and Arbitrum, with each having unique strengths and potential for growth in 2025.
Stablecoins like Tether or USD coin were recommended to make up 5% of the portfolio for stability and liquidity. While the AI model’s recommendations provide valuable insights, investors should conduct their own research and due diligence before making investment decisions. Personal circumstances and individual risk tolerance should also be taken into consideration, as there is no one-size-fits-all solution in the world of investing. Ultimately, it’s important for investors to stay informed and make strategic decisions in the ever-changing cryptocurrency market.
