ALLINCRYPTO
Technical Crypto Analyst, Allincrypto YouTube/Podcast Creator
Gold looks set to keep benefiting as nations diversify into scarce, neutral assets outside other countries' liabilities. Central banks just made gold the world's top reserve asset, overtaking US Treasuries for the first time since 1996. Russia's frozen reserves in 2022 showed that foreign financial assets carry geopolitical risk; now 74% of central banks expect the dollar's reserve share to fall over five years, and 89% expect their gold holdings to rise. x.comÂ
Gold keeps getting bought because central banks are slowly shifting reserves into gold and other currencies alongside the dollar. Per IMF data, the dollar's share of reserves is near 57%, down from about 66% in 2015, not the 42% a quoted post claimed; the trend is real, though smaller. x.com x.comÂ
Central-bank gold accumulation may be an early warning of inflation, adding to gold's reserve-demand case. Gold's share of non-US central-bank reserves has risen to 24%; the last comparable surge preceded double-digit inflation. Inflation is nowhere near that level today, but central banks buying about 1,000 tonnes a year suggest they do not consider it settled and see debt rising. x.com x.com x.com x.comÂ
Gold has formed a multi-year top at $5.6K and won't return there before 2030. It is in a high-timeframe distribution phase, with trillions of dollars rotating out of gold into US equities, bitcoin and Chinese equities, fueling the next risk-on environment. Silver showed a classic blow-off top, and the same applies to gold. x.comÂ
Record central-bank buying supports gold. Gold now accounts for over 20% of central-bank reserves, near a multidecade high; notice the trend and adjust accordingly. x.comÂ
Central bank reserves will never let gold fade. That is the answer to @legitamit's concern about gold's eventual risk after Marathon Fusion's claim of turning mercury into gold. x.comÂ
Gold will see a diamond-like price decline if lab-grown gold takes hold. The quoted post says lab-grown diamonds halved diamond prices since 2016; gold is currently the largest asset class on Earth, so its money moving into Bitcoin could be consequential. x.comÂ
Central-bank stockpiling adds demand for gold amid market weakness. WatcherGuru, citing Fortune, reports central banks buying four times more gold than usual and moving it out of the US. Similar silver buying is suspected, not established; both metals remain favored. x.comÂ
Gold is set to take off as energy-driven stagflation traps the Fed and negative real rates favor it. Today's dovish hold was likely its last chance to hike: once the AI bubble bursts, the Fed loses that option, while current debt-to-GDP rules out Volcker-style hikes without fiscal insolvency. Per Macrotrends' chart, gold rose eightfold from its 1976 low to its 1980 high, equivalent to $32,000 gold over five years in today's terms. x.com x.com x.comÂ
Rising Treasury yields make non-yielding gold less attractive, setting up one major selloff before the next big rally. Oil above $100 adds inflation and rate pressure; higher yields could lift the dollar, while gold ETF outflows and forced selling in a liquidity crisis add risk. The Benner Cycle flags 2026 as a potential selling period. The long-term bull market is not necessarily over: central banks are still buying and long-term demand remains strong. Gold is not worth chasing at these levels. … Show more
Gold has become a structural bid as central banks gradually diversify reserves away from US Treasuries. They have bought about 1,000 tonnes a year for several years, and 95% expect to add more while 73% expect lower dollar exposure. Gold carries no counterparty or sanctions risk and can be held domestically. Central bank gold, worth $4.5-5 trillion, now exceeds their roughly $3.9-4 trillion of Treasuries, mainly from price gains, not selling; the dollar still holds about 58% of reserves. x.comÂ
