Gold’s breakout rally is refusing to stop as the asset has now overtaken the US dollar’s position as the largest global reserve asset. Gold has now accomplished a new feat in 2026, replacing the US dollar as the largest global reserve asset by claiming the aforementioned position. This new milestone signals the changing investor sentiment, signaling how the world is pivoting towards safe haven assets as wobbly geopolitical tensions continue to shake and break the US dollar.
Also Read: BRICS De-Dollarization Agenda For 2026 Advances With Global Launch
Gold Overtakes The US Dollar As The Largest Reserve Asset
Gold has now overtaken the US dollar as the largest reserve asset, pushing the US dollar to acquire the second position. The world banks are now holding gold as their primary reserve asset to bank on for the long term, keeping the US dollar aside. The USD continues to encounter low valuation and leverage, as rising geopolitical tensions and uncertainties continue to push the American currency down a notch.
“Gold has overtaken the USD as the world’s largest reserve asset. Over 50% of monetary reserves are now held in GOLD. Extrapolate those two lines and you’ll see where we are headed; give it 5 years. The gold standard will always prevail. 👑”
Gold price is up significantly as investors continue to bank on gold for its safe haven abilities. The asset is now trading at $4350, with major banking entities predicting its surge to $5000 to $6000 by the end of 2026.
“I’ve highlighted before that the gold market has been very overbought. But it’s actually still underinvested,” Widmer told viewers. “There is still a lot of room for gold as a diversification tool in portfolios.”
Gold Price Experts’ Opinion and De-dollarization
According to Rashad Hajiyev, gold is already on its path to hit $4.6K in a new rally.
With gold’s soaring prices and the USD’s poor performance, talks of de-dollarization have once again started to gain momentum. The shift from the US dollar to gold is signaling a sentiment reversal. The US dollar does not hold enough credibility due to rising macro pressure on the US economy. This is stirring de-dollarization narratives.
“#Gold and #silver delivered standout performance in 2025, driven by record price gains and powerful macro forces. James Connor and John Ciampaglia examine the key drivers. Including central bank buying, de-dollarization, and inflation concerns. “
Also Read: Dollar Weakness in 2026 Isn’t De-Dollarization, Analysts Say
