Gold has proven to be a strong return-producing asset, offering about 25% gains within the first four months of 2025 and recording all-time highs on both MCX and COMEX. As prices soar, many investors may ask: Is gold still a good investment, or is it too late to get in?
The 24-carat gold rate in Delhi was ₹97,730 per 10 grams as compared to silver trading at ₹99,900 per kilogram. The meteoric rise of gold prices is usually linked to the increasing geopolitical tensions and the recessionary atmosphere caused by the ongoing US-China trade war.
The features of gold have made it popular with individual retail investors these days, along with institutional buyers and central banks.
However, with such a sharp rally, it becomes a question: should one buy at these highs or wait for the price to dip? Let us see what has been said about it by financial experts.
Will the Gold Bull Run Continue in 2025?
Navneet Damani, Head of Commodity & Currency Research at Motilal Oswal Financial Services, is of the firm opinion that given the uncertain economy today, investment in gold will prove worthwhile.
“Gold has become a symbol of stability amid global volatility. As long as trade wars, inflation risks, and central bank gold purchases persist, gold will remain a solid investment. Our strategy is to ‘buy on dips’, especially for medium- to long-term investors.
But not every genius entering the department should be against the market at such a level.
Gold Buying at Maximum is Dangerous
Indeed, it is now the time when key players capitalize on their gains. “Gold is at its top,” says NS Ramaswami, Head of Commodities at Ventura Securities. It would be wise to wait for about a 7% dip before investing in gold.
He predicts a rise in gold prices by another 4% to 7% in the next 6-8 months, but adds that given the current upward movement, it is very volatile.
“The thing is, all bullish factors are already priced into gold. Therefore, any movement upwards would be very sharp and sudden, making it risky for the near-term trader.”
Should Long-Term Investors Still Consider Gold?
There may be volatility in the coming days, but gold would still remain as the natural first-choice wealth protector for the long term.
According to Ross Maxwell, Global Strategy Lead at VT Markets, take a systematic approach:
“Buying at peaks is always risky, but if your goal is long-term security or hedging against economic uncertainty, gold is still a wise choice. Consider dollar-cost averaging- investing small amounts over time-to balance your entry price.”
Which Factors are Pushing Gold Prices in India?
Numerous causes are affecting the movement of prices with gold:
First, instability increases in the market concerning the US-China trade. This instability is boosting the demand for gold.
Further, the demand for gold worldwide remains quite high, which means prices in India would remain high as well.
Hence, range-bound established conductivity reflects the cautious consumer sentiment.
Gold Price Forecasts
If the global market stabilizes, gold is likely to retreat to as low as ₹75,000 per 10 grams in the next six months.
If the US-China relations take a turn for the worse into greater hostilities, price might skyrocket to ₹1,38,000 for every 10 grams.