With market concentration concerns rising, investors are hunting for "diversification without sacrificing growth." Enter gold – the precious metal that has already smashed past $3,000 per ounce and could be heading even higher.

Gold's 2024 run has been nothing short of spectacular. The gold-tracking SPDR Gold Trust (NYSE:GLD) is up about 40% over the past year.

During an exclusive interview with Benzinga, Violeta Todorova, senior research analyst at Leverage Shares, said that the momentum is not slowing down anytime soon. "With a confluence of favourable factors such as monetary easing, central bank buying, geopolitical tensions, inflationary pressures, and strong physical demand—the outlook for gold remains strong."

Read Also: Gold ETFs Shine As Spot Price Tops $3,000 During Safe-Haven Demand

Can Gold Hit $3,500 In 2025?

While equity markets remain volatile, gold's safe-haven appeal continues to strengthen. Todorova sees multiple catalysts for further gains. "Amid the uncertainties of 2025, gold is likely to remain a cornerstone of wealth preservation and portfolio diversification."

And just how high can it go? "The precious metal is likely to extend its rally to $3,500 per ounce; however, it could reach higher levels by the end of the year," she told Benzinga.

Meanwhile, gold ETFs are set to benefit as investors seek protection from ongoing market swings. Todorova expects "increased inflows" into gold funds as more investors turn to safety plays. The GLD, the iShares Gold Trust (NYSE:IAU) and the SPDR Gold MiniShares Trust (NYSE:GLDM) offer exposure to gold.

The Bigger Picture for Investors

With uncertainty gripping the market, investors are reevaluating their portfolios. While tech stocks have driven past bull markets, gold's latest surge suggests a shift in sentiment. The GLD is already up 13.82% YTD, the IAU has gained 13.85% and the GLDM has gained 13.87% so far this year.

As 2025 unfolds, the question isn't just whether gold will hit $3,500 – it's whether investors will pivot in time to ride the wave.

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