IAES International Journal of Artificial Intelligence (IJ-AI)
Vol 13, No 1: March 2024

The prediction of Bitcoin price through gold price using long short-term memory model

Choi, Jae Won (Unknown)
Choi, Young Keun (Unknown)



Article Info

Publish Date
01 Mar 2024

Abstract

The majority of research on predicting the price of Bitcoin employs technical methods to enhance long short-term memory models' effectiveness. Although some studies employ different machine learning techniques, such as economic or technical indicators, their precision is inadequate. Thus, this research aims to introduce a model that predicts the price of Bitcoin by utilizing the long short-term memory (LSTM) technique and incorporating gold's economic and technical data as features. The research collected gold and Bitcoin price data from FinanceDataReader for around seven years, from January 1, 2016, to January 22, 2023, consisting of six categories: date, open, high, low, close, volume, and change (based on dollars). The normalized closing price data was trained for 50 epochs, resulting in the loss value reaching close to zero. The model's accuracy was measured by mean squared error, resulting in a score of 0.0004. This study's importance is two-fold: firstly, it can provide cryptocurrency-related businesses with more accurate predictions and improved risk management indicators. Secondly, incorporating economic metrics can address the limitations of overfitting and a single model's poor performance.

Copyrights © 2024






Journal Info

Abbrev

IJAI

Publisher

Subject

Computer Science & IT Engineering

Description

IAES International Journal of Artificial Intelligence (IJ-AI) publishes articles in the field of artificial intelligence (AI). The scope covers all artificial intelligence area and its application in the following topics: neural networks; fuzzy logic; simulated biological evolution algorithms (like ...