PAX Gold (PAXG) is an asset-based crypto token that allows holders to buy and sell gold in fractional quantities. By utilizing the blockchain to its fullest, it offers users a price-effective way to own physical gold. With the backing of 400-ounce of real gold stored in the Brink’s vault, the coin is not expected to slow down in the market any time soon.
The scarcity of resources is increasing day by day and with it, the price of gold is skyrocketing. As the gold price increases, so does the price of the PAXG token. The price of the coin was already as high as $2.923 on Saturday. As tension becomes high across different countries like Israel and Iran, we can see the coin shooting up in the coming days.
Factors affecting PAX Gold’s price rising
There are various factors that drastically affect the price of the PAXG tokens. Here, we are going to discuss the most important ones.
- Scarcity of Gold
Gold is a limited yet valuable commodity on our planet. As the global supply of gold is severely controlled by the government and various other institutions, it is no wonder the price of gold is getting higher day by day. This scarcity of gold is one of the main reasons its price is currently increasing in the market. The more the gold becomes valuable, the more valuable the PAXG token becomes.
- Global Tension
As the geopolitical tension increases, the value of the PAX Gold is slowly surging with it. Conflicts that are currently occurring in Middle Eastern countries like Iran and Israel had major investors flocking toward gold. As gold is somewhat of a liquid currency, whenever global tension rises, it tends to shoot up the value of gold in general.
PAXG coin current market analysis
Since its launch 2 years prior, the PAXG has gained a lot of ground in the crypto market. Now, ranked #122 (at the time of the article’s writing) on the CoinMarketCap, the coin is currently trading at $2,754.57 in the market.
With a total circulating supply of 194.34K, the coin’s market capitalization has already passed the $500 million mark. As gold prices continue to rise with each passing day, it is hard for the coin to fall short in the market.
Global tension affecting the coin’s value
As various geopolitical tensions arise between Iran and Israel, gold is one of the assets that is most coveted by many investors. Based on various reports, we can conclude that a majority of investors are turning to gold in these turbulent times. If we look into similar scenarios in the past, we can find that the gold price has risen in such cases. This time is no different either.
As global tension increases, so does the rate of gold. This in turn causes the market value of the PAXG coin to increase. As various crypto assets lose their standing in the market during such times, people turn towards traditional stable assets like gold. As this continues, the coins associated with these assets also jump in price. Additionally, the interest rate decisions put forward by the Federal Reserve are also one of the main factors that contributed to the rise in the price of the coin.
What the future holds for the PAXG coin, price prediction
As the global tension continues, we can expect the PAXG coin not to look at a bearish trend for quite some time. If the bullish trend of the PAXG continues in the market, we can expect the price of the coin to reach new levels in the market.
Now that we discussed the standing of the coin in the market and the reason behind it, let’s take a look at what the future holds for the PAXG coin. For this, we have prepared a price prediction table for the coin with the help of various experts in the market.
| Year | Price |
|---|---|
| 2025 | $ 2,487.28 |
| 2026 | $ 2,582.95 |
| 2027 | $ 2,885.56 |
| 2028 | $ 3,271.49 |
| 2029 | $ 3,882.56 |
| 2030 | $ 3,994.45 |
Conclusion
In essence, the PAXG is one of the perfect coins in the market during these turbulent times. In a highly volatile world, the PAXG coin offers its holders much-needed stability. With the current standing and backing of the gold bars in the Brink’s vault, the coin has limitless possibilities in the market.
With a limited supply and increasing demand, many investors have already taken shelter by buying the coin. If you’re also considering the same, make sure to do thorough research before investing.
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