BITOfficial: In the medium and long term, the continued expansion of sovereign debt remains an important structural factor supporting gold demand

On March 24, BITOfficial released a daily chart analysis saying that gold is experiencing the first obvious correction in recent years, and the price has fallen back to around US$4,400. Buying interest is expected to begin in this region, and stronger support may be around US$3,500. In the short term, markets are repricing the higher interest rate path and stronger inflation expectations, pushing real interest rates higher-which usually puts pressure on gold. However, this impact may only be phased rather than a fundamental change in the medium-term outlook. In the medium to long term, the continued expansion of sovereign debt remains an important structural factor supporting gold demand. This trend is likely to intensify further as governments increase borrowing to cope with geopolitical uncertainty, increase defense spending and broader fiscal spending. In this context, price ranges below $4,400 may increasingly attract attention from long-term allocation of funds.