The price of gold shot to another record high of more than $1,900 an ounce Tuesday before backing off. 

"Prices are all over the place, and moving fast," The Wall Street Journal quoted a London-based trader.

A growing number of analysts are worried that the price of the yellow metal has risen too high, too fast, and they expect a correction.
        
Gold has now become one of the most popular investments in the financial markets. 

"We have the same old problems and I think gold still has a role to play as a currency in its own right," Simon Weeks, head of precious metals at the Bank of Nova Scotia in London, told Reuters.

"But in the same way that the world became over-reliant on the U.S. dollar as a reserve currency, I think we should exercise a bit of caution in becoming over-reliant on gold," he cautioned.

"It has a role to play and will do for a long time to come, but whether that is at $2,000 or not remains to be seen," he said. "I don't think it needs to be as high as it is at the moment."

However, many experts predict the long-term trend for gold remains higher.