Will Gold Price Hit $4,000 by Late 2025? Silver Lags but Gains Momentum
The price of Gold has been rallying hard, nearly doubling in 30 months which points to further gains, while Silver price although bullish, remains reluctant.
Gold’s Rally Fueled by Economic Uncertainty and Safe-Haven Demand
Global trade tensions and shifting Federal Reserve expectations have been key drivers behind gold’s impressive bull run. The Federal Reserve is unlikely to adopt a hawkish stance in the near term, given the recent signs of economic weakness in the U.S., particularly after softer-than-expected CPI and PPI data last week.
These factors, combined with growing geopolitical risks and investor caution, have strengthened gold’s position as a safe-haven asset. XAU/USD reached an all-time high of $3,004.85 on Friday before pulling back slightly. However, the upward momentum remains strong, as demand for gold continues to surge.
Gold Chart Daily – MAs Support the Relentless Upside Momentum
Since October 2022, gold prices have increased by nearly 200%, with a 15% gain so far in 2025 alone, signaling deepening concerns over economic stability and global financial markets. Although some risk premiums have been removed, particularly with the Ukraine conflict nearing resolution, other geopolitical tensions and economic shifts continue to fuel gold’s strength.
Last week, after briefly surpassing $3,000, GOLD experienced a temporary pullback, largely due to profit-taking from investors who had set that level as a target. However, gold quickly rebounded above $3,000, reaffirming strong demand and buyer dominance. Given these factors, along with potential global economic and political challenges, the $4,000 mark by late 2025 is increasingly within reach.
Silver Follows Gold’s Lead but Faces Supply Pressures
Silver has also posted notable gains, rising $5 since the start of 2025, now targeting the $34.85 level last seen in October. Technical indicators remain supportive, with moving averages providing key support during price corrections.
The 50-week SMA acted as a strong base for XAG/USD earlier this year, while the 20-week SMA halted a recent decline earlier this month, helping silver jump 10% and resume its bullish trend.
Beyond broader market trends, silver’s rally is being driven by rising industrial demand, particularly from the electronics, solar, and defense sectors. The growing scarcity of silver has also led several major banks to halt sales, which could significantly impact prices in the coming months.
Conclusion: Gold’s Bullish Momentum Intact, Silver Gains Traction
Gold remains the dominant safe-haven asset, with strong fundamentals and technical support pointing toward further gains. The recent break above $3,000 and quick recovery from pullbacks suggest that buyers remain firmly in control, making the $4,000 target by the end of 2025 a realistic possibility.
Silver, though trailing behind, is seeing rising demand and supply constraints, which could drive prices higher in the near term. Both metals are positioned for continued upside, especially as economic uncertainty and geopolitical risks persist.
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