Is gold about to skyrocket? Experts predict gold prices to reach new highs, not just in 2024, but potentially scaling even further in 2025. The surge is fueled by a significant factor: central banks.

Gold Prices Primed for Record Highs: Why 2024 & Beyond?

The buzz around gold prices is reaching fever pitch. Central bank gold consumption reaches new highs, with these institutions leading the charge in gold acquisitions. The prices of gold could sustainably scale up as Central Banks could accumulate more in reserves this year in 2025.

Central Banks Accumulating Gold: A Major Price Driver

Why are central banks buying so much gold? Analysts point to geopolitical uncertainties, inflation concerns, and a desire to diversify reserves. Initial reports suggest central banks buy 387 tonnes, influencing the XAU/USD, which is currently around $2,025.

Gold's Impressive Performance: A Glimpse into the Future?

On Wednesday gold hit record highs for the fifth consecutive day, surpassing $2,877 per ounce in trading, as futures (GC=F) also climbed to new highs above $2,900. This recent performance may foreshadow continued upward momentum. The World Gold Council (WGC) reports a record 4,974 metric tonnes of gold bought in 2025, highlighting the sustained demand.

2025: A Golden Year for Gold Demand?

Looking ahead, 2025 is projected to be another strong year for gold. Gold demand skyrocketed to unprecedented levels in 2025, fueled by aggressive central bank acquisitions, strong investment activity, and increasing technological demand. This confluence of factors could push gold prices to new highs, making it a crucial asset to watch.