Gold surge to $4,000 could be just the beginning as expert weighs in

Gold has surpassed $3,200, and according to Bloomberg, now has the potential to surge to $4,000 an ounce, with other forecasts this week also suggesting a revised $3,700 year-end target; so, what is fueling this gold rush? And is it temporary or a lasting change?

Rick Kanda, Managing Director at The Gold Bullion Company, has shared his expert insight into the current situation of the market and what he believes is in store for gold:

“This situation may come as a crisis for many assets, but for gold, it’s a perfect outcome. Inflation fears remain high as the U.S. stock market loses trillions of dollars, and investors are leaning towards physical gold in search of security rather than risky assets like stocks and Bitcoin. Ultimately, this shift in security needs is what’s driving up prices, and by the looks of things, this is just the beginning.

What the market is currently experiencing isn’t new; it has had the same experiences from previous financial crises, but it could become a much larger-scale crisis. Investors currently have a high demand for tangible assets like gold, and central banks are using gold-buying strategies, which is reinforcing this trend. Investors and banks are choosing physical gold over cash investments, which, in turn, puts pressure on the supply chain and pushes up gold prices.

Rick continues: “I believe that $4,000 per ounce is absolutely possible, and considering the economic pressures, I think it may even be probable. If such pressures continue as forecasted, gold-backed stability will be adopted globally. With that said, investors should prepare for a continued gold rush throughout the whole of 2025. A shift in confidence like this reaffirms gold’s safe-haven status.