Since gold has been considered a valuable asset for thousands of years, it has always been wanted and in demand, but it is in the most recent history that the market has grown to become what it is today, and what it is today is a fairly mature and stable market. Today, the price of gold is below its recent all-time high, but it remains above support and could be ready for another phase of growth. In addition to this expected “turn”, there are other unavoidable realities that should presage an increase in gold prices. That said, the price of gold could skyrocket at this important juncture and have lasting movements for gold price predictions for the next 5 years.
He added that if the conflict between Russia and Ukraine intensifies, the price of gold could rise rapidly, as fear of geopolitical turmoil will cause investors to rush to the safe haven asset. After growing by a few hundred dollars in the first half of the year, the price of gold is expected to grow even faster over the next few quarters with the expansion of the Delta-COVID variant. Gold is starting to reappear as Bitcoin cools and the Delta COVID variety begins to shake the markets again. Currently, the price of gold is rising because there is a clear need to invest in a safe haven, enet.
This was known as the gold standard, but in 1971, the President of the United States, Richard Nixon, asked the Federal Reserve to stop respecting the value of the dollar in gold and to end its primary use as a monetary value and helped make the asset more of a store of value. This has made investors seek to invest their money in safer investments, and gold is one of the best investments of its kind. Unlike strict graphic technicians, when evaluating the gold market I also include a broader perspective, for example, taking into account monetary dynamics and macroeconomic fundamentals. As you can see from the chart above, the price of gold per troy ounce often rises during or immediately after a recession.
Moreover, as explained above, the value of gold is known to increase when the value of the dollar falls and the Federal Reserve has made it clear that it is willing to cause massive inflation and a devaluation of the dollar to stimulate spending and increase liquidity by printing money. I use a combination of technical analysis and observation of market fundamentals to make my predictions about the price of gold.