Intelligent Alpha, a $30 million investment fund managed by a trio of artificial intelligence systems, has set a bullish target of $140,000 for Bitcoin. The fund’s AI investment committee, comprised of OpenAI’s ChatGPT, Google’s Gemini, and Anthropic’s Claude, has demonstrated impressive performance in traditional finance and has recently turned its attention to the cryptocurrency market.
Intelligent Alpha’s founder and CEO, Doug Clinton, revealed in an interview with CoinDesk that the AI committee has been experimenting with Bitcoin price predictions over the past five months. Based on a scenario involving a Trump victory and a favorable regulatory environment, the AI has projected a potential surge to $140,000 for Bitcoin.
Unlike firms that use AI to assist human analysts, Intelligent Alpha grants significant autonomy to its AI committee in making investment decisions. The process involves feeding the AIs curated data relevant to the target investment area, such as historical revenue and earnings projections for large-cap U.S. equities. Clinton then provides a philosophical framework, asking the AIs to emulate the thinking of renowned investors like Warren Buffett, Stanley Druckenmiller, and Cathie Wood.
The AIs subsequently generate a portfolio, which is reviewed by a human to eliminate any “hallucinations” or inconsistencies. Clinton emphasizes minimal human intervention in the AI-generated portfolios, acknowledging that while some picks may initially seem questionable, others offer intriguing insights.
Crucially, the AIs are required to explain their reasoning, ensuring alignment with portfolio goals and enhancing the quality of their selections. The AIs often disagree, and their approaches evolve with updates. Clinton noted a shift in contrarian thinking from Claude to ChatGPT over time. While other AIs have been tested, the current three-AI committee has proven most effective.
