Gold prices see fluctuations after record high, buyer’s market emerges

COLORADO SPRINGS, Colo. (KRDO) -- Gold prices are experiencing significant fluctuations after reaching an all-time high of well over $5,000 for an ounce earlier this year. The precious metal recently dropped over $100 in just a few days, though its price remains above $4,000. Despite the recent decline, gold is currently valued significantly higher than it was a year ago.

Tom Hallenbeck, a gold and coin dealer in Colorado Springs, suggests that current price levels may stabilize and could represent a new norm. He notes a shift towards a buyer's market, even as his business continues to see high customer traffic.

Hallenbeck indicated that more individuals are beginning to purchase metals at these somewhat lower price points.

"It's probably still 60 percent sellers, and 40 percent buyers. But there are a lot more people that are getting back into purchasing the metals now at these somewhat lower levels," Hallenbeck said.

Hallenbeck also shared his prediction that gold prices will likely increase by the end of the year, citing global instability as a driving factor. He explained that such conditions often lead people to seek tangible assets for security.

"Instability causes people to be nervous. And when they are nervous, they generally go towards tangible assets. Gold is the one thing that's kind of off-the-books. You can put it in your safe. They're very tangible. They're very liquid. You can move them. You can sell them within just hours," Hallenbeck said.

He believes the public has grown comfortable with the new price levels, which he expects will contribute to relative market stability moving forward. However, Hallenbeck also advised that individuals should remain cognizant of market volatility if they are looking to buy or sell gold.

Based on current market behavior and global events, Hallenbeck anticipates the price of gold will increase by the end of the year. He expects gold prices to remain relatively stable moving forward.