Will gold rise in price? What is its price limit?
Precious metal has long been one of the best safe haven assets, allowing you to protect your savings from inflation and financial shocks.
Most financiers strongly recommend buying gold and using it to protect investments in other assets.
Currently, the price of one troy ounce of gold is already more than 3000 dollars, and therefore a reasonable question arises: Will gold continue to rise in price, what is its price limit?
The easiest way to understand how events may develop is by analyzing the trend history of this exchange asset.
After all, if you study the price chart over the past 20 years, you'll easily notice that the precious metal hasn't always risen in price:
troy ounce by 2011. However, this price level didn't last long, and a gradual decline began, with gold falling to $1,000 per ounce by the end of 2015.
As a result of the fall, the precious metal lost more than 40 percent of its value in four years.
By analyzing the reasons for what happened, we can try to predict how the situation will develop in the coming years.
The reason for the last price jump was the 2008 crisis, which ended in 2013, after which investors began to transfer money from gold investments to more profitable investment options.
Will prices increase in 2025 and beyond?
It's no secret that global markets are currently struggling, with many investors dumping securities and investing in more reliable assets. This gives hope that gold will rise in price.
There are several reasons for the instability, but primarily geopolitical tensions and trade wars.
At the current time, most experts predict the price of gold in 2025 to be within the following ranges:
| Analyst / Bank | Gold Price Forecast for 2025. | Comment |
|---|---|---|
| ANZ Bank | $3,200 | Growth due to inflation and a weaker dollar |
| UBS | $3,500 | Demand from central banks and investors |
| Goldman Sachs | $3,500 | Continuing inflation and geopolitics |
| JP Morgan | $3,200 | High uncertainty in the global economy |
| Deutsche Bank | $2,725 | Conservative forecast in the range of $2,450–$3,050 |
Almost all experts predict the price of the precious metal will rise to $3,200-$3,500 per troy ounce in 2025. If tensions persist, the price could rise to $4,000 in 2026-2027.
It is clear that the price increase will be accompanied by regular corrections in the opposite direction, but after that the price will rise again.
A reversal could only occur if the situation in Ukraine and the Middle East finally stabilizes and trade wars between the US, Europe, and China ease. But this is unlikely to happen before 2026-2027.
However, it cannot be said with certainty that other reasons for the rise in the price of gold will not appear during this time.
So, answering the question, will gold rise in price? The answer is a resounding yes. Today, this asset remains the most reliable safe haven during a crisis.
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