The vast majority (80%) of gold mining executives expect bullion to continue its inexorable rise this year, with only 6% anticipating a fall, according to a survey by PricewaterhouseCoopers.
Gold has benefited from its "safe haven" status - in times of trouble, investors pile into assets like gold that are considered less risky than others. Growing fears over the eurozone debt crisis pushed the precious metal to all-time highs of $1,920 last September.
Today, spot gold is trading at around $1,641. Cash prices have climbed 5% so far this year as investors return to the market following a 10% drop in December.
Deutsche Bank analyst Michael Lewis thinks the long-term outlook is positive for gold. He told Reuters: "We have central bank diversification, which we think is a bigger flow story than exchange-traded fund buying. We're also looking for dollar weakness to come back."
He added: "We still like the gold story because of negative real interest rates."
Similarly, Goldman Sachs sees gold rising to $1,940 towards the end of the year.
Even if gold reaches $2,000, this would still be below the inflation-adjusted high reached in 1980. The oil price shock in the wake of the 1979 Iranian revolution sent gold soaring to $2,500 an ounce.
Meanwhile in India, a rise in the rupee to its highest level in five weeks prompted Indian jewellers to stock up ahead of the wedding season.