Is Gold on Track to Hit $4,000 in 2025? What Experts Are Saying
Tuesday, May 20th 2025
Gold has been on an extraordinary run, with prices breaking through historic thresholds. After breaching $3,000 per ounce for the first time in March, the precious metal has continued to climb and now hovers near $3,300 — leaving investors wondering: is $4,000 next?
Why Gold Is Soaring
Behind gold’s meteoric rise are a series of global and economic headwinds. From geopolitical strife to banking instability and erratic market conditions, investors are gravitating toward gold — the time-tested safe haven that doesn’t depend on a central bank or political system.
Brett Elliott, director of content at APMEX, points to a convergence of forces: “Bank failures, Fed rate cuts, and intensifying trade tensions are all pushing investors toward precious metals.” These elements together are contributing to sustained bullish sentiment in the gold market.
The Case for Continued Growth
Experts overwhelmingly agree that gold’s rally isn’t likely to reverse soon — unless there’s a major restoration of economic and political stability. Until then, uncertainty is keeping demand strong.
Ben Nadelstein of Monetary Metals explains that “investors are responding to mixed signals on trade, debt, and tariffs,” prompting a shift toward more stable, yield-generating assets like gold. According to him, as long as volatility persists, gold will remain in demand.
One significant driver? International tariff discussions. Although temporarily paused, their long-term impact remains unclear, which is further bolstering gold prices. Elliott believes this could be enough to send prices past another milestone soon: “We’re close to $3,500 already, and with gold jumping as much as 3% in a single day recently, momentum is clearly building.”
Could Gold Actually Reach $4,000?
While the idea of $4,000 gold isn’t far-fetched, analysts caution that such a jump would require dramatic events — potentially similar to those seen during the early pandemic.
“Major market sell-offs and escalating economic fear could be the fuel that sends gold to $4,000,” says Nadelstein. “If the Federal Reserve were to slash interest rates close to zero again, that could also drive investors away from the dollar and into gold.”
Still, such a rise wouldn’t come easy. Elliott estimates gold would need a further 17% gain from today’s prices. “That’s a significant move,” he says. “And markets rarely move in straight lines. Corrections are inevitable.”
April’s gold surge offered a glimpse of what could accelerate that trend: a sudden stock market drop. That sharp decline brought in buyers not typically involved in the gold market, says James Cordier of Alternative Options. “This rally was different — we saw broad-based interest across many investor types, not just the usual players.”
Should Investors Jump In?
Whether or not gold breaches $4,000 in 2025, many analysts say now could still be a strategic time to invest in it. Even if growth slows, gold remains a solid hedge against inflation and an effective way to diversify during turbulent times.
That said, long-term thinking is key. Elliott advises caution and patience: “Gold won’t go to zero, but you shouldn’t expect overnight returns either. Go in with a plan and be ready to hold for the long haul.”
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