Gold Price Plunge: Why Precious Metal Is Crashing Below $4350 And What’s Next

Gold prices have collapsed to a new low of $4,350, marking a sharp reversal from its recent rally above $5,000. The sudden sell-off is creating turmoil in precious metals markets, defying traditional safe-haven logic amid ongoing geopolitical and economic tensions. Analysts are now questioning whether gold can recover from this steep correction as the rally halts abruptly.

Gold Price Crash: What’s Happening

Gold prices have now crashed to their lowest levels, down to trade at $4350 at press time. It seems that the current gold prices have entered into the bear market, erasing the majority of the gains that the metal had accumulated in this while.

JUST IN: Gold enters bear market after falling over 20% from its all-time high.

The metal has now crashed 20% from its all-time high, making the domain highly volatile to explore for investors as of now. As the sharp sell-off triggers panic, Crypto Patel took to X to share his reasoning behind the current gold price shakeoff.

Patel first shared his concern on how wars that are historically set up for gold to surge higher are the ones phasing it out, pushing the metal down further. This rare phenomenon is primarily triggered due to the US-Iran war and the consistent oil price spikes, which are triggering inflation fears. These inflation fears are in turn powering the US dollar, which is weighing heavily on the metals sector.

Moreover, Patel emphasized other key points, stating how the current gold volatility is a “paper flush” and not a fundamental collapse. He further added that physical gold remains elevated as central banks are continuing to purchase gold at their pace. In addition to this, JP Morgan’s year-end gold forecast remains unchanged at $6300, which further solidified gold’s current market dip as a temporary correction and nothing more.

Gold Just Had Its WORST Week in 43 Years

Gold crashed ~11% this week to ~$4,490/oz, marking the biggest weekly drop since 1983.
Down over 14% since the US-Iran war began.

But here's the Paradox: War is supposed to be BULLISH for gold. So what happened?

The Chain Reaction:
… pic.twitter.com/XH6N6Lw9OX

Gold’s Potential Future

According to Rashad Hajiyev, gold prices are currently under heavy volatility, but per the expert, the worst is over, and the metal may resume its rally from April 2026.

I think precious metals investors need to be patient for another couple of weeks. I think the worst is over for PMs and they are largely going to form a bottoming and reversal with rallies to start early April…

Hajiyev later shared how he expects gold to resume its rally forward soon, which may propel the asset to hit the $8K mark in due time.

If the decline in gold is over then it could be forming a mega triangle formation likely to resolve by early May. Every consolidation in the present 2.5-year bull run lasted 3 to 4 months. The recent set back in gold supposedly due to war in Iran, shifts timing by 1.5-2 months.… pic.twitter.com/oGaT4R7pgX