Retail investors are increasingly opting for small, staggered investments in digital gold as price volatility continues to dominate the bullion market, with platforms such as Paytm Gold witnessing growing interest from buyers seeking to average their purchase costs over time.
The price of 24-karat gold is currently hovering around Rs 1.43 lakh per 10 grams in the domestic market, nearly 20 per cent below its all-time retail high of approximately Rs 1.78 lakh per 10 grams recorded on January 29, 2026, when safe-haven demand surged.
Gold prices have remained range-bound in recent weeks, influenced by changing expectations surrounding US interest rates, a stronger US dollar and developments in West Asia. The US Federal Reserve’s decision to keep interest rates unchanged last week has shifted market attention to its next policy move.
Despite lowering their price forecasts, several market analysts continue to maintain a positive medium-term outlook for gold. The World Gold Council has said that sustained central bank purchases and ongoing geopolitical uncertainty are likely to support prices, although higher bond yields and a firmer dollar may continue to fuel short-term volatility.
Against this backdrop, many investors are adopting a systematic investment approach instead of attempting to time the market. Paytm Gold enables customers to purchase 24-karat digital gold at live market prices with investments starting from Rs 51, while its Daily Gold SIP allows automatic recurring purchases.
The digital gold is offered in partnership with MMTC-PAMP and is backed by equivalent physical gold stored in insured, bank-grade vaults. Investors can either sell their holdings at prevailing market prices or convert them into certified 24-karat physical gold, with doorstep delivery available across more than 12,000 pin codes.
The company has also highlighted stronger monetisation from wealth products, including Paytm Gold, in its latest quarterly earnings.
While systematic investments may reduce the impact of short-term price swings, they do not eliminate market risk. Analysts continue to advise that gold should form only one component of a diversified investment portfolio rather than serving as the sole investment avenue.
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