As gold enters a new consolidation range, analysts once again point out that the adjustments of the past two years have been brief and shallow.

Despite a 2% drop in gold prices last week, analysts point out that the damage to the upward trend of gold prices is minimal as they are far above the low point of $3200 per ounce. The gold price fell by about 8.5% from its lowest point last week, which is comparable to the adjustment after the US election in November last year. At that time, the gold price peaked at $2800 and then fell by 9% within three weeks.

As the old saying goes, history may not repeat itself, but it does rhyme. This new adjustment happened faster, but in a broader context, this move is not unreasonable. It is important to view this price trend correctly. The gold price climbed from $3000 per ounce to $3500 in just 5 weeks. With such a foam in the market, it is not surprising that investors quickly take some profits from the table.

Although there is still room for a decline in gold prices, an increasing number of analysts still see this sell-off as a long-term buying opportunity. Many people point out that although concerns over President Trump's global tariffs have weakened in recent days, there is still no clear trade agreement on the negotiating table.

Some economists have stated that even if a trade agreement is announced, the damage to the economy and the reputation of the United States as a trusted trading partner has already been caused.

The tariffs will eventually disappear, but this does not mean that central banks around the world will stop buying gold to diversify their investment portfolios and reduce dependence on the US dollar.

Last week, the World Bank significantly raised its forecast for gold prices. Last year, analysts predicted that gold prices would remain relatively unchanged after a 20% increase. In the latest forecast, they expect gold prices to remain relatively stable at the current level, which is up 36% from last year's average level.

Analysts say, "Driven by uncertainty, geopolitical tensions, and concerns about volatility in major financial markets, it is expected that strong gold safe haven demand will continue in the short term. If geopolitical tensions and policy uncertainty become more apparent, gold prices may exceed current forecasts

Even the World Bank believes that gold will not fall soon.