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| Analyst Predicts Gold Prices Might Exceed $8,000 in the Next Decade |
Gold market analyst Jan Nieuwenhuijs predicts that gold prices may exceed $8,000 per ounce over the next ten years. Nieuwenhuijs' projection is based on the impact of macroeconomic factors and the ongoing Ukraine-Russia conflict. He believes that central banks, who currently have an "unusual faith in foreign exchange," will begin to shift their reserve preferences towards gold. According to his long-term model, each troy ounce of gold could reach $10,000 if central banks stockpile 51% of their reserves in gold.
Central banks have already shown strong demand for gold in recent times, with record amounts being purchased in 2022. In the third quarter of 2022 alone, close to 400 tons of gold were purchased by central banks. The World Gold Council has reported that the demand for gold from central banks continued to be strong in 2023, with Turkey purchasing the most gold at 23 tons.
Other personalities, such as Robert Kiyosaki, have also signaled the rise of gold and other scarce assets, like bitcoin. Kiyosaki predicted that gold could reach $5,000 by 2025 and that bitcoin could reach $500,000.
It remains to be seen whether Nieuwenhuijs' projections will come to fruition. However, given the increasing demand for gold and the ongoing economic uncertainties, it may be worthwhile for investors to consider the precious metal as a potential safe haven asset.
