Gold Price Forecast: XAU/USD declines to near $5,050, focus shifts to US jobs data

💡 DMK Insight

Gold’s drop to around $5,045 is raising eyebrows, and here’s why: With ETH currently at $2,022.60, the correlation between gold and crypto markets is becoming more pronounced. As gold struggles to find a floor, traders should consider how this might impact risk sentiment across assets. A continued decline in gold could push investors toward cryptocurrencies like Ethereum, especially if they view crypto as a hedge against inflation or market instability. However, if gold stabilizes or rebounds, it might draw capital away from crypto, particularly if traditional investors seek safety in tangible assets. Watch for ETH’s reaction around key support levels; if it holds above $2,000, it could signal strength, but a break below could trigger stop-losses and further selling pressure. Keep an eye on gold’s performance in the coming sessions, as it could dictate the flow of funds between these markets.