Gold News: Price Prediction Hinges on $5002.31–$5143.89 — Traders Brace for Next Move

Market Overview - The current market situation is characterized as a normal retracement following a steep sell-off from a record high, with a potential for a significant run that could retrace 50% to 61.8% of the initial decline [1] - Investors are faced with a critical decision to either buy into the strength aiming for a new all-time high or to sell the rally in search of better entry points [1] Investor Sentiment - There is uncertainty regarding whether recent buying activity is indicative of long-term investment or merely a short-term rally in response to perceived cheap prices amidst ongoing volatility [2] - The volatility has impacted investor confidence, although there is no hesitation regarding long-term prospects [2] Price Forecasts - J.P. Morgan maintains a bullish long-term forecast for gold, projecting a price of $6300 by the end of 2026, which is approximately $700 above the current record high, supported by anticipated central-bank purchases of 800 tons this year [3] - Deutsche Bank shares a similar bullish outlook, forecasting a price of $6000 in 2026, attributing the expected rally to strong investor demand [4] - In contrast, Citibank has revised its forecast down to $5000, while HSBC and ANZ predict prices will remain near recent lows of $4450 and $4400, respectively [5]