I noticed that gold experienced a very strong movement at the beginning of the year, reaching close to $5,600 in January, but then entered a sharp correction in March. Now in May, prices are moving around $4,800-$4,900 per ounce, and there is a big question in the market: Is a further decline in gold prices expected beyond this?

The truth is, the answer is complicated. On one hand, major banks like JPMorgan and UBS are raising their forecasts for the second half of the year, expecting prices to reach $6,000-$6,300. On the other hand, there are real pressures from a strong dollar and rising bond yields that make gold less attractive.

The main factors currently controlling the price are: inflation, which has started rising again (3.3% in March), Federal Reserve monetary policies, and ongoing geopolitical tensions. Any of these factors could change the course quickly.

The traders I’ve seen in forums are divided: some see gold breaking $5,000 soon, while others fear a deeper decline if there’s a sudden tightening of monetary policy. But what’s clear is that the $4,600-$4,700 level is considered strong support at the moment.

If you’re thinking of entering an investment, it’s best to first understand: do you want protection from inflation in the long term? Or are you looking for quick profits from volatility? Because the answer completely determines the strategy. Physical gold or exchange-traded funds are safer for the long term, but contracts for difference are faster if you’re confident in the market movement.