Gold prices have dipped below the $5,000 mark following a 14% rally this year, a move seen by eToro as a natural consolidation in a strong bull market. The decline was influenced by the nomination of Kevin Warsh as Federal Reserve Chair by former President Trump, which was perceived as a hawkish signal, and was further impacted by reduced trading volumes during the Lunar New Year. Despite the recent pullback, eToro's Market Analyst Zavier Wong emphasizes that the fundamental drivers of gold's rally, such as geopolitical uncertainty and persistent inflation, remain intact. Central bank purchases and ETF inflows continue to support the market, with expectations of potential Federal Reserve rate cuts later this year bolstering the case for further gains. Wong suggests that the current price action is a temporary pause, with potential catalysts like US inflation data or geopolitical developments poised to reignite momentum.