Under the influence of monetary easing expectations, the tensions between Moscow and NATO, and the stock market’s pullback, gold has continued its rally to reach a new record, leaving investors and traders in awe and wondering if the precious metal could extend the bullish momentum.
Specifically, gold has recently hit the price level at $2,127.45 per ounce, recording a new all-time high (ATH) and surpassing the previous record from December last year, when it reached $2,071.98 according to the most recent price data retrieved by Finbold from BullionVault on March 5.
Correction is in order?
On the other hand, despite gold reaching new ATHs, households and fund managers in North America and Western Europe are not buying into them, instead continuing to sell and take profit for the sixth consecutive month, according to the information shared by BullionVault in a recent X post.
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Indeed, Thu Lan Nguyen, head of commodity research at Germany’s Commerzbank AG, shared her view that gold’s recent “rally is fragile” and that her team “would not be surprised to see a small downward correction in the coming days on the back of profit taking.”
Interestingly, back in February, the famous investor and author of the best-selling personal finance book ‘Rich Dad Poor Dad’ Robert Kiyosaki earlier in February shared his predictions of the price of gold crashing to “possibly below $1,200” as central banks continue to accumulate it.
Overall, he may not be entirely wrong, particularly considering the fact that some financial experts, like Commerzbank’s Thu Lan Nguyen, indeed, see a possible price correction in the future of the popular precious metal often touted as a safe haven asset.
Gold price prediction
Meanwhile, in late February, on-chain metrics and price prediction firm Techopedia published a forecast for gold prices, according to which gold could climb above the $2,700 threshold sometime in 2025 due to a high demand in physical markets and conflicts in the Middle East and Europe.
All things considered, the recent record-breaking price could be gold’s peak for the time being, and declines could ensue. However, some experts are confident that the precious metal will recover in the long term and move towards new all-time highs in the next couple of years as the safe haven of choice amid uncertainties.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
