Let’s not beat around the bush: Gold is on fire right now. Prices have shot up by 34% so far in 2025 basis the December contract (GCZ25), hitting an all-time high of $3,720.40 per ounce this week.

That’s a pretty staggering rally, and it’s probably got a lot of wistful buyers wishing they’d made an entry sooner. But the craziest thing about this surge is that nobody’s expecting it to stop anytime soon.

Sustained demand, the perfect macro backdrop, and bullish forecasts are pushing more and more investors to jump on the bandwagon. And if you’re thinking about going for gold, right now might be the perfect time.

But before you dive in, let’s take a wider look at what’s driving price trends and the safest entry points for first-time buyers.

Why Are Gold Prices Up in 2025?

Gold prices are going nowhere but up in 2025. If you zoom out for a bit more context, it’s not hard to see why so many investors, banks, and collectors are flocking to gold this year.

Between imminent borrowing rate reductions, the de-dollarization of global markets, and incredibly bullish forecasts, it’s no wonder demand has shot up.

The Perfect Macroeconomic Backdrop

Everybody likely knows the Federal Reserve is poised to cut interest rates this month. Meanwhile, the strength of the U.S. dollar has waned across 2025. Combined, these two factors have created the perfect macro backdrop for a surge in gold prices.

Because gold doesn’t pay interest or dividends, opportunity cost falls when Treasury yields and savings incentives drop. That makes gold an attractive store of value, which is part of the reason we’ve seen such high inflows into gold ETFs over the first half of 2025.

Then there’s the strength of the dollar to consider.

Gold is globally priced in U.S. dollars. As a result, gold gets cheaper for foreign buyers when our currency weakens — and the dollar is only headed in one direction right now.

The U.S. Dollar Index ($DXY) has fallen more than 10% so far in 2025. The dollar is consequently less of a safe haven for investors, which makes gold a more attractive asset and magnifies its momentum.

Central Banks Are Buying Up Gold

It’s not just investors who are worried about a soft dollar and geopolitical tensions. A lot of central banks are trying to reduce their reliance on the dollar in their reserves. 

Gold is politically neutral and sanction-proof, which makes it a no-brainer for emerging economies and governments that are afraid of President Donald Trump’s economic policy.

China, Turkey, and India are leading the charge, pushing gold demand to multi-decade highs and soaking up global supply with huge buy-ups. It goes without saying this steady source of high-volume demand has led to rapid price growth.

Bullish Forecasts Are Driving Momentum

Another reason gold prices are climbing sky-high right now is simple: We all keep talking about it. 

It’s difficult to ignore the macroeconomic factors at play here — and because things don’t look like they’re going to improve anytime soon, just about every single analyst is generating really bullish gold forecasts for the months ahead.

ANZ Group recently said it’s targeting $3,800 an ounce by the end of 2025. By June 2026, the bank is expecting prices to hit the $4,000 mark. That’s the consensus over at UBS, while Goldman Sachs reckons we could potentially hit $5,000 per ounce next year.

The list goes on, but you get the idea. 

With the Fed easing rates, the dollar getting soft, and central banks gobbling up supply, gold prices aren’t going down this year. These forecasts are definitely shifting investor behavior and perpetuating gold’s momentum going into 2026. That’s why so many investors are asking one simple question: Is it time to buy gold?

When Is It a Good Time to Buy Gold?

If you’re new to gold, the first thing you’ve got to know is that timing is everything. The metal market often moves fast, but a lot of traders will tell you there are a few times of the year when gold prices are slightly weaker.

Historically, spring and early summer are the best times to buy gold if you’re looking for lower prices.

Demand is generally pretty high in January and February. Investors are rebalancing their portfolios, and jewelry sales skyrocket in Asian markets because of Lunar New Year. That demand drives prices up right into the start of March, when demand softens and investors focus on equities.

That seasonal lull generally continues into late June. From there, prices start to climb again up until December when investors buy gold for year-end portfolio hedging.

So if you're looking to buy gold while prices are low, September might be your best bet. Prices don’t seem likely to dip again in 2025. 

But as we’ve pointed out, there are also a lot of macroeconomic triggers that aren’t as easy to predict. As a result, consistent buyers tend to worry less about seasonal demand and focus on dollar-cost averaging instead.

By purchasing regular fixed amounts throughout the year, you should be able to smooth out volatility and lower your chances of wasting loads of money on a short-term peak.

Should I Buy Gold Now? And How?

The short answer is: Yes. If you’re looking to manage risk and diversify your portfolio, this is a good time to buy gold.

Market watchers are expecting a series of rate cuts over the next few months, which is going to send real yields plummeting. When you stack that alongside a weak U.S. dollar and sustainable long-term demand for gold, everybody’s forecasting gold prices to keep on going up into next summer and beyond.

And if you’re feeling cautious or your tolerance for volatility is low, you can still leverage price gains. Just buy small or use dollar-cost averaging to minimize your timing risk.

In terms of how to buy gold, you’ve got a few options:

• Physical gold: This is a tangible investment and it’s inflation-proof. But you may need to consider storage costs.
• Gold ETFs: These funds give investors exposure to gold without having to worry about buying and storing physical bullion. That makes ETFs pretty easy and safe for entry-level investors.
• Gold mining stocks: For a pretty direct exposure without having to buy your own gold, you can invest in gold mining companies. You’ll benefit from upward movements, but expose yourself to company-specific risk.
• Gold futures: This sees you agree to buy or sell a specific amount of gold at a set price in the future. Because both risk and leverage are amplified, this is probably only one for experienced traders.

You don’t have to stick with only one of these options. In fact, it’s better if you combine vehicles to maintain a more diversified portfolio.

At the end of the day, there’s no such thing as a sure thing. But we’re currently looking at a pretty impressive macroeconomic backdrop that should give you some confidence as a buyer. Gold is an easy way to insulate yourself against inflation and geopolitical shenanigans, and prices are only going to keep climbing into 2026. 

If you are going to go for it, just remember to make a sensible and disciplined entry.

On the date of publication, Nash Riggins did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.