Gold has been trading in a consolidation range against the U.S. Dollar (USD) above the $2,000 psychological resistance. Looking for financial insights, Finbold turned to Grok, an advanced artificial intelligence (AI) model created by xAI, an Elon Musk’s company.
Notably, Grok thrives among other AI models for its real-time scan capacities on X (formerly Twitter), providing up-to-date information. Its logical and unbiased algorithm provides valuable insights, like naming the ideal cryptocurrency for payments on X.
Grok AI on Gold price ranges by the end of 2024
As for the most likely price of gold by the end of 2024, Grok AI believes in a range between $2,100 and $2,400 per ounce.
“Based on the information provided by various sources, the most likely price range for gold at the end of 2024 is between $2,100 to $2,400 per ounce. Factors contributing to this range include the potential for a recession, the performance of the US dollar, and geopolitical tensions.”
– Grok, by xAI
Grok AI on the maximum and the minimum price for Gold in 2024
In the meantime, Finbold also asked Grok for the maximum price Gold could trade in 2024. As a bullish case, the AI sees a yearly high of $2,800 per ounce for the world’s leading commodity.
“The maximum gold price prediction for 2024 is around $2,800 per ounce. This prediction is based on the potential for a strong recovery in the global economy, increased demand from central banks, and a weakening US dollar. However, this is a more optimistic prediction and may not be as likely as the price range mentioned in point A.”
– Grok, by xAI
On the other hand, it is possible that Gold trades as low as $1,800 per ounce. This would put the commodity below its current range, reflecting a bearish scenario for the precious metal.
“The minimum gold price prediction for 2024 is around $1,800 per ounce. This prediction is based on the possibility of a stronger US dollar, lower inflation, and a less severe recession. However, this is a more pessimistic prediction and may not be as likely as the price range mentioned in point A.”
– Grok, by xAI
Gold price analysis
Interestingly, Gold is trading at $2,024 by press time, slightly below the middle of a range that lasts since November 2023. This range has a technical resistance at $2,077 and support at $2,006 per ounce. The leading metal deviated to as high as $2,146 and as low as $1,973, both in December.
In particular, Gold could see gains of 3.75% to 18.5% in the most likely forecast by Grok AI. A run to its maximum would mean a 38% surge, while a drop to the minimum would mean a loss of 11%.
However, the artificial intelligence model is prone to mistakes, and investors must remain cautious. Gold’s price is affected by macro and microeconomics, for example, related to the mineral’s available supply on Earth.
In conclusion, investing in Gold could offer an appealing risk-reward opportunity at this moment. Moreover, this investment has valuable properties of a solid economic hedge to consider.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
Source: https://finbold.com/grok-ai-predicts-gold-price-for-the-end-of-2024/