Cryptocurrency plunges late at night, nearly 120,000 traders liquidated, gold breaks through $4,550

Ask AI · Behind the surge in gold prices, how does UBS CIO view long-term investment opportunities?

Reporter丨Liu Xueying

Editor丨Jiang Peixia

All cryptocurrencies plunge across the board!

On the evening of March 27, Bitcoin briefly dropped and fell below 66,000 dollars. As of 7:36 a.m. on the 28th, Bitcoin was down more than 3.6%, Ethereum fell to 1,987 dollars down more than 3%, SOL fell more than 4%, and XRP, Dogecoin, and others were also all down.

Nearly 120k people were liquidated in the cryptocurrency market, with liquidation amounts totaling 446 million dollars.

On the other hand, gold and silver surged rapidly late at night. Spot gold briefly broke above 4,555 dollars per ounce. By the close, spot gold was up 2.5%, at 4,493.36 dollars per ounce, while COMEX gold futures rose 2.6%. Spot silver rose 2.4%, to 69.73 dollars per ounce.

Tensions in the Middle East are high. Iran’s nuclear facilities were attacked, and it said it would retaliate severely.

Gold saw a rare decline this week, with several key levels falling in succession. According to a report by Xinhua and China Business Daily, UBS CIO said that for many investors, intuitively, gold is a “safe haven” amid geopolitical tensions, but each geopolitical event has its own distinct macroeconomic backdrop. Inflation, policy expectations, and the situation of capital flows are all different.

UBS CIO believes that at this stage, gold faces multiple headwinds, including energy-driven inflation and expectations of rate hikes, a stronger dollar, and outflows of investment funds, but these should be short-term factors. The current situation may trigger a slowdown in global economic growth, causing some factors that are unfavorable for gold prices to fade. This leg of the decline may be a pullback along gold’s long-term upward trajectory. Although gold prices could still fall, based on the institution’s expectation that prices will eventually rebound, these levels are attractive to long-term investors. UBS CIO expects that gold’s target price at the beginning of 2027 will be 5,900 dollars per ounce.

Yuesheng Investment Research: Further reading on leads for popular theme companies

(Disclaimer: The content of this article is for reference only and does not constitute investment advice. Investors act at their own risk.)

Produced by | 21 Finance Client 21st Century Business Herald