PAXG (PAX Gold) down 6.99% in the last 24 hours

Gate News Bot Message, January 30th, according to CoinMarketCap data, as of press time, PAXG (PAX Gold) is currently priced at $5,174.37, down 6.99% in the past 24 hours, with a high of $5,622.81 and a low of $4,919.30, and a 24-hour trading volume of $1.795 billion. The current market capitalization is approximately $2.199 billion.

PAXG is an asset-backed token, with each token representing one troy ounce of London-delivered physical gold stored in professional insured vault facilities. Anyone holding PAXG owns the rights to the underlying gold, which is custodied by Paxos Trust Company. Since PAXG represents physical gold, its value is directly linked to the real-time market value of physical gold. PAXG offers customers the benefits of owning physical gold while enjoying the speed and liquidity of digital assets. Customers can own a fractional interest in physical gold bars.

PAXG features cost-effectiveness, security, regulatory compliance, and no settlement risk. All allocated gold backing PAXG is stored in LBMA-approved vaults and audited monthly. Paxos is a trust company and custodian regulated by the U.S. Office of the Comptroller of the Currency (OCC). Purchasing PAXG involves no settlement or credit risk and allows for near-instant settlement. PAXG is the only gold token that can be redeemed for LBMA-certified high-quality delivery gold bars, and institutional clients can also exchange unallocated London spot gold and convert to USD at current gold market prices at any time.

Recent Important News about PAXG:

1️⃣ Spot gold stabilizes after correction, on-chain long positions remain highly profitable This week, spot gold experienced a correction after breaking the all-time high of $5600, but major on-chain investors holding long positions in PAXG still maintain substantial unrealized gains. The largest on-chain gold long address with 5x leverage holds about $3.71 million in PAXG, with an average price of $4,126, and an unrealized profit of approximately $740,000, with a return rate of about 96%. Another major whale account with significant gold-related positions holds about $5.5 million in total, including approximately $3.62 million in PAXG longs, with an unrealized profit of about $740,000. This indicates that despite recent price corrections, the long positions established earlier this month remain significantly profitable, reflecting ongoing confidence among large institutional investors in the medium-term outlook for gold.

2️⃣ Reshaping the tokenized gold market landscape, PAXG’s market share rapidly rises to 40% The global tokenized gold market size has surpassed $5.2 billion, with a clear shift in market competition. PAXG’s market share has quickly approached 40%, making it the second-largest tokenized gold product after Tether Gold. Although Tether increased its physical gold holdings by 27 tons in Q4 to support XUAT’s expansion to $2.24 billion, its market share has fallen from nearly 60% in November 2025 to about 50%. Meanwhile, new entrants like Kinesis Gold have further intensified market competition. Thanks to reliable asset backing, transparent regulatory framework, and trading convenience, PAXG continues to gain market share, demonstrating investor recognition of its role as on-chain gold representation.

3️⃣ Macroeconomic fundamentals continue to support rising gold prices, multiple factors drive safe-haven demand The fundamental driver behind the sustained strength of gold prices is the combined effect of multiple macroeconomic factors. The share of USD in global foreign exchange reserves has fallen below 60%, a multi-decade low, prompting central banks worldwide to adjust their reserve compositions. Up to 95% of central banks expect to increase gold holdings further, providing structural support through official sector gold purchases. Morgan Stanley forecasts gold prices could rise to $5,700 per ounce in the second half of the year, and OCBC Bank has raised its end-2026 target price to $5,600. Analysts believe current gold price increases are driven by “non-speculative” funds, with demand stemming from official asset allocation adjustments rather than short-term speculation, offering lasting support. Geopolitical uncertainties and concerns over USD credit further reinforce market recognition of gold as the ultimate store of value.

4️⃣ Gate platform’s precious metals ecosystem continues to improve, liquidity and allocation channels further optimized Gate has launched flexible wealth management products for precious metals tokens such as PAXG and XAUT in YuBiBao, with annualized yields up to 4.38%, supporting flexible deposit and withdrawal, and hourly interest distribution. Users can choose precious metals assets across spot trading, derivatives, TradFi, quick exchange, ETFs, copy trading, bots, and wealth management, providing multi-dimensional PAXG allocation channels suitable for different risk preferences. This initiative enhances the liquidity and usability of PAXG within the platform and reflects the exchange’s recognition and support for the long-term development of tokenized gold.

This message is not investment advice. Please be aware of market volatility risks.