The post-COVID numismatic fervor has subsided, and the coin market has found some even footing. We see this as an encouraging sign. A rapidly rising market scares us, and one that gets ahead of itself, even more-so. Arguably, both scenarios existed, so a pull back was not only predictable, it was necessary. If there’s one thing that prior bull markets have taught us, a meteoric rise is generally followed by a catastrophic slide. A good case in point would be the bull market of 1989-90 followed by five of the most difficult years in the coin business. If we fail to pay attention to history, it inevitably will repeat itself. Every bull market witnesses a handful of dealers (generally new to bull markets) leading the charge. This last cycle was no exception. Price levels on commonly traded series like Morgan and Peace Dollars got maniacally high. Consequently, collectors became gun shy, and we noted slow-downs in both of the aforementioned areas. When the market leaders came to the realization that they were largely trading coins back and forth, and that the end users were systematically disappearing, price levels started to recede. In retrospect, we are thankful that the market pulled back rather than crashed and burned. Market pull-backs are healthy, and allow dealers and collectors alike, to come up for air.
Enter the 2023 coin market. The velocity has slowed to a healthy pace. Coin prices have corrected to sustainable levels. Gold and silver have both remained strong, and their symbiotic relationship to the coin market can be felt in its underlying stability. We believe that status-quo will probably be the order of the day for the coin market throughout this year. In other words, we don’t expect to see a lot of price movement one way or the other. As the former market leaders lick their wounds, the rest of us will move forward slow and steady, buying and selling rare coins in a predictable and measured fashion….just as it should be.