03.08.2026 12:06
Selling pressure in the gold market, which has lost 26 percent since its historic peak, is losing strength. Global research firm BCA Research, noting that real interest rates and dollar pressure have weakened, declared that the toughest period for prices is behind and advised investors to "buy on expectations of a rally."
A critical turning point is occurring in the gold market, which has recently worried investors with sharp declines. BCA Research, a global investment research firm, stated that the most challenging period for gold is behind us and recommended that investors take a "long position" (buy).
DOWN 26% SINCE RECORD HIGH
In the latest report published by BCA Research, it was reminded that gold has lost 26% of its value since its historic peak on January 29. It was noted that despite the precious metal being one of the most popular investment vehicles of 2025, it has not fully provided the expected inflation protection in the face of escalating geopolitical risks. However, analysts believe that the intense selling pressure on gold has largely lost its strength. Experts, emphasizing that the stormiest period in the market may be behind us, stated that the search for a bottom is nearing completion and that the upward potential is strengthening.
REAL INTEREST RATE AND DOLLAR PRESSURE WEAKENING
Offering a contrarian analysis of popular market perception, BCA Research stated that gold is not, contrary to popular belief, a direct "inflation shield." Analysts, pointing out that real interest rates are the main determinant of price movements, reported that gold is beginning to catch its breath again as pressure on the real interest rate front eases.
Another critical factor highlighted in the report was the US dollar. Experts, stating that the suppressive effect of the dollar index on gold has come to an end, expressed that in the coming period, the dollar is expected to transform into a force that supports gold rather than pulling it down.
THREE PHASES OF THE GOLD RALLY
BCA Research divided the long-term uptrend in the gold market into three main periods and made the following assessment:
Phase 1 (End of 2022): Began with record-level physical gold purchases by central banks.
Phase 2 (2025): Shaped by the acceleration of global ETF (Exchange Traded Fund) inflows.
Phase 3 (Current Period): Real interest rates and the US dollar index will now play a primary role in pricing.
* THIS IS NOT INVESTMENT ADVICE