Gold crashes $3.4 trillion in Single-Day Market Chaos; here’s what happened
2026-01-29 - 17:31
LONDON – Gold attracted investors from across the globe as price touched historic highs near $5,600 per ounce. But that rally came to a sudden halt, as bullion witnessed sharpest one-day crash in years, coming down over 8% and wiping out nearly $3.4 trillion in global market value. Gold Crash Currency Pair Bid Price Ask Price Change % Change GOLD / USD $5362.07 $5363.03 -149.51 -2.71% GOLD / GBP £3885.45 £3886.11 -101.08 -2.54% GOLD / EUR €4484.88 €4485.58 -115.94 -2.52% The sudden downturn was triggered by a liquidity scramble in the wake of steep losses in American tech sector, forcing investors to sell even their “safe-haven” gold holdings. The unprecedented shake-up comes as the global gold market plunged dramatically on Thursday, January 29, erasing nearly $3.4 trillion in market value in a single day. The metal had recently crossed the $5,000 mark for the first time, nearly doubling in value over the past year. Silver wasn’t spared either, falling 1.6%, while Bitcoin plunged over 5%, dipping below $85,000. Investors had flocked to these assets seeking safety amid a volatile global backdrop of an expensive U.S. stock market, political uncertainty, trade threats, and soaring government debt—but the surge proved unsustainable. The sell-off was triggered not by fundamentals but by a liquidity crunch. A tech-sector meltdown, led by a nearly 12% crash in Microsoft, forced institutional investors to liquidate gold holdings to cover losses and margin calls. What was once the “safe-haven” asset suddenly became a source of urgent cash, accelerating the freefall. Market experts warned that gold had been “overbought” after a staggering 29% rise since the start of the year. Rising geopolitical tensions, including US-Iran friction and trade disputes involving Greenland—had added a risk premium that unraveled when panic-selling hit. Gold market may see more turbulence in the coming weeks as investors reassess the price of safety in an increasingly uncertain world. Gold, silver prices in Pakistan soar to record highs after massive surge