Gold Holds Above $5,100 as Geopolitical Tensions Fuel Safe-Haven Demand

Gold prices continue to hold firmly above the key $5,100 level, demonstrating strong market resilience. Despite a slight pullback from a recent high of $5,195, the overall trend remains range-bound between $5,130 and $5,132, which the market views as a normal consolidation within an uptrend. Technically, the $5,080 level has repeatedly acted as effective support, providing investors with a clear reference point for the bottom.

From late last year to early 2026, gold experienced a significant upward trend, with prices steadily climbing from around $2,900-$3,000 to a peak of $5,400. This trend is not a short-term speculation but rather a reflection of long-term safe-haven demand and a structural shift in capital allocation. While some profit-taking is currently underway, buying power remains dominant, and market sentiment has not fundamentally reversed.

The escalating situation in the Middle East, particularly concerning Iran, has further strengthened gold's position as a global safe-haven asset. Potential supply disruptions in the Strait of Hormuz, a crucial global energy transit point, could trigger a surge in oil prices and global inflationary pressures, prompting institutional investors to accelerate their allocation to gold as a hedge against risk. Market analysis indicates that against the backdrop of rising geopolitical uncertainty, gold, due to its historical stability and lack of credit risk, remains the preferred safe harbor for capital. From a technical perspective, gold's daily chart remains within an upward channel, with the upper and lower Bollinger Bands located at $5,311 and $4,858, respectively. Although prices briefly touched the upper band before pulling back, the overall trend structure remains intact. The Chaikin Money Flow indicator remains around 0.11, indicating continued capital inflows. If gold prices can firmly hold the $5,080-$5,100 support range, there is potential to retest the $5,300 resistance level. If this level is breached, the $5,400 mark may become the next target.