Now that gold prices have set a new high, we have seen more price predictions above $3,000 per ounce. This week, I noticed that the same person who once bet my friend Gary Alexander that gold would fall below $1,000 in 2017 – and later predicted gold would go above $3,000 – has now predicted $5,000 gold.
In this week’s edition of his “Global Mail” column for Navellier & Associates, Ivan Martchev wrote, “I do not necessarily have any targets for the price of gold and silver bullion, other than to say that the last time gold bullion took out its all-time high of $850, it more than doubled that number, to over $1,900. We just took out that previous high, so we could more than double it again. That could put gold bullion in the vicinity of $5,000 per ounce by the time the latest bull run is over. That puts silver bullion with a triple-digit target. It’s hard to say when that would happen, but it is likely to be in the next five to 10 years.”
However, it could happen sooner: “In the previous bull run (2001-2011), we did not have the stated goal of the central bank to create higher inflation, so this time the whole move would presumably happen faster.”
Last week, I chronicled some of the other major mainstream investment advisory services that are now predicting gold prices of $3,000 to $5,000 in the next 2-3 years. Just for a reminder, they included:
- Bloomberg Intelligence is not ruling out $4,000 gold by 2023, saying that the gold bull market is “just beginning.”
- Bank of America predicted $3,000 gold by late 2021 or early 2022.
- Thomas Kaplan, billionaire founder of the New York-based Electrum Group is predicting “$3,000 to $5,000” gold, “if not a lot higher,” depending on a variety of circumstances.
- Citigroup analyst Heath Jansen also sees gold in the $3,000 to $5,000 range, in a rise similar to gold’s bullish run in the 1970s up to its peak in 1980.
Gold may give up some of its recent gains, but a rise to $3,000 next year is highly likely.