BIT Official: From a medium to long-term perspective, the continued expansion of sovereign debt remains an important structural factor supporting gold demand

According to a report by Jinse Finance, on March 24, BIT Official released its daily chart analysis, stating that gold is undergoing its first relatively significant pullback in recent years, with prices retreating to around $4,400. It is expected that buying interest will begin to emerge in this area, with stronger support likely around $3,500. In the short term, the market is repricing a higher interest rate path and stronger inflation expectations, driving real interest rates higher—this typically puts pressure on gold. However, this impact may be temporary rather than a fundamental change to the medium-term outlook. From a medium to long-term perspective, the continued expansion of sovereign debt remains an important structural factor supporting gold demand. As governments increase borrowing to address geopolitical uncertainties, boost defense spending, and expand broader fiscal expenditures, this trend may further strengthen. Against this backdrop, price ranges below $4,400 may increasingly attract the attention of long-term allocation funds.