Will Gold Prices Crash to ₹50,000 per 10 Grams in 2025? Donald Trump’s Role in Trashing Gold Value

Gold has long been a trusted asset in India, cherished for its cultural significance and financial security. However, a bold prediction is making waves: gold prices could plunge to ₹50,000 per 10 grams, with U.S. President Donald Trump potentially “trashing” its value. As of March 29, 2025, this speculation has sparked curiosity and concern among investors. Could Trump’s policies really drag gold down, or is this just market hype? In this in-depth article, we’ll uncover the factors driving this forecast, Trump’s influence on gold prices, and what it means for you. Let’s explore.

Trump selling gold to buy bitcoin

Donald Trump’s administration is considering a move to strengthen the U.S. position in digital assets by potentially selling gold-related assets. This initiative is part of establishing a strategic bitcoin reserve, aiming to treat bitcoin similarly to gold as a reserve asset. The plan is designed to avoid additional government costs, using proceeds from sales to fund bitcoin purchases directly.

Why Are Gold Prices Predicted to Drop to ₹50,000 per 10 Grams?

Gold prices in India have soared in recent years, often exceeding ₹70,000 per 10 grams due to global demand, inflation, and local factors like import duties. A fall to ₹50,000 per 10 grams would mark a dramatic 25-30% decline, a scenario that seems far-fetched but not impossible. Several economic trends fuel this prediction:

• Global Market Shifts: Gold prices are tied to the U.S. dollar and international events. A stronger dollar or reduced geopolitical tension could lower demand for gold as a safe-haven asset.
  
  
• Declining Inflation: With inflation cooling in major economies, gold’s appeal as an inflation hedge weakens, potentially pushing prices down.
  
  
• Investor Behavior: The rise of cryptocurrencies and stock market rallies could divert funds from gold, especially if confidence in riskier assets grows.

But the real game-changer? Donald Trump’s economic agenda in 2025.

Read Also: How to Mine Bitcoin: Earn Passive Income From Crypto

How Could Donald Trump “Trash” Gold Prices?

Donald Trump’s return to power in January 2025 has reignited discussions about his impact on global markets. His “America First” policies could reshape the gold landscape in unexpected ways. Here’s how Trump might send gold prices tumbling:

1. Dollar Strength: Trump’s proposed tariffs—25% on Canada and Mexico, 10% on China—aim to boost U.S. manufacturing. A thriving U.S. economy strengthens the dollar, and since gold is priced in dollars, its value often drops as the dollar rises.
   
   
2. Trade War Resolutions: While tariffs initially spiked gold prices (hitting $3,000 per ounce in early 2025), a swift resolution to trade disputes could stabilize markets, reducing gold’s safe-haven demand.
   
   
3. Interest Rate Pressure: Trump’s pressure on the Federal Reserve to keep rates high could make bonds and savings more attractive than gold, which offers no yield.
   
   
4. Stock Market Boom: Post-election optimism has already pushed U.S. stocks to record highs. If investors flock to equities, gold could lose its shine, falling to levels like $2,000 per ounce globally—translating to ₹50,000 per 10 grams in India with taxes.

Trump’s unpredictable leadership style adds volatility, but his focus on economic growth might just “trash” gold’s premium status in the short term.

Gold Price Trends in 2025: What’s Happening Now?

As of March 29, 2025, gold has been a rollercoaster. After peaking at $3,000 per ounce globally (around ₹80,000 per 10 grams in India), prices have dipped amid U.S. economic optimism. In India, demand surges during festivals and weddings, but global cues often dictate the broader trend. Analysts are split: some see gold climbing to $3,500 per ounce by late 2025, while others predict a correction to $2,000-$2,500 (₹50,000-₹65,000 per 10 grams locally). Trump’s tariff rollout and U.S. policy decisions in the coming months will be key.

India’s Gold Market: Will ₹50,000 per 10 Grams Become Reality?

India imports most of its gold, making it sensitive to global price swings. A drop to ₹50,000 per 10 grams would require a perfect storm: a stronger rupee, lower international prices, and reduced local demand. While the Reserve Bank of India continues stockpiling gold reserves, consumer buying might slow if prices fall sharply, amplifying the decline. Trump’s influence could indirectly trigger this by stabilizing global markets and curbing gold’s safe-haven status.

Should You Invest in Gold if Prices Fall?

A crash to ₹50,000 per 10 grams could be a golden opportunity—or a warning sign. Here’s what to consider:

• Buy: Lower prices might tempt jewelry buyers and long-term investors. Watch for Trump’s policy announcements to time your purchase.
  
  
• Sell: If you bought gold below ₹50,000, a dip could still yield profit. Avoid panic-selling during volatility.
  
  
• Hold: Gold’s historical resilience suggests it’s a keeper, even if Trump shakes things up temporarily.

Conclusion: Gold at ₹50,000—Hype or Reality?

Could gold prices really fall to ₹50,000 per 10 grams in 2025? With Donald Trump steering the global economy, it’s not out of the question. His policies could strengthen the dollar, ease inflation fears, and shift investor focus—potentially “trashing” gold’s value. Yet, gold’s enduring appeal in India and its role as a hedge against chaos might limit the damage. Stay vigilant, track Trump’s moves, and prepare for a wild ride in the gold market.

 

10 FAQs About Gold Prices and Donald Trump’s Impact

1. Why might gold prices fall to ₹50,000 per 10 grams?
   A stronger U.S. dollar, lower inflation, and reduced demand could drive prices down, influenced by global trends and Trump’s policies.
   
   
2. How does Donald Trump affect gold prices?
   His tariffs, economic growth focus, and dollar-strengthening measures could reduce gold’s appeal as a safe-haven asset.
   
   
3. What’s the current gold price in India (March 2025)?
   As of March 29, 2025, prices fluctuate above ₹70,000 per 10 grams, but check live rates for accuracy.
   
   
4. Will gold become worthless under Trump?
   No, “trashing” gold is an exaggeration. It may lose value temporarily but retains long-term significance.
   
   
5. Should I buy gold if it hits ₹50,000 per 10 grams?
   It could be a good buy for long-term investors or jewelry, but monitor market trends first.
   
   
6. How do tariffs impact gold prices?
   Tariffs can initially boost gold during uncertainty, but resolutions might lower prices by stabilizing markets.
   
   
7. Is gold still a safe investment in 2025?
   Yes, despite volatility, gold remains a hedge against economic downturns.
   
   
8. What happens to gold if the U.S. dollar strengthens?
   A stronger dollar typically lowers gold prices globally, affecting India too.
   
   
9. Can India’s demand prevent a gold price crash?
   Local demand supports prices, but global factors often outweigh it in sharp declines.
   
   
10. When will we know if gold hits ₹50,000?
    Watch Trump’s policy rollouts and global gold trends through 2025 for clearer signals.