By Kim Iskyan
One doesn't have to be gold bug, think that a financial apocalypse is around the corner or know that predicting anything will increase 500% in value sounds a little crazy to think that history suggests that the precious metal's price could soar.
The decade that brought us disco music, velour jumpsuits and Pong also saw a 2,300% jump in gold prices. Gold traded at $35 an ounce in 1971, but by the beginning of 1980, it had reached $850 an ounce.
Meanwhile, stock markets were volatile but with ultimately flat returns, it was a lost decade.
Due to double-digit inflation, a weak dollar, political instability and an oil crisis, investors in the 1970s were nervous and fearful. This uncertainty drove more investors into gold, as they viewed the metal as a global currency and a store of wealth.
By the end of the decade, there was a veritable gold rush.
But sometimes history repeats itself.
Today's gold market rally has a lot in common with what happened in 40 years ago.
Here are three ways.
1. Crisis of confidence
The specific economic problems are different now than they were in the 1970s. Today, low oil prices are a problem, deflation is looming and recession is very possible.
But there are other broad parallels between the two decades.
In 1979, then President Jimmy Carter described a "crisis of confidence" in government and the future. This crisis eventually reached Carter himself when he lost re-election to Ronald Reagan in 1980.
And what campaign slogan did Reagan use in 1980? "Make America Great Again," yes, the same slogan Republican Donald Trump has used for his presidential campaign this year.
The current crisis of confidence extends all across the globe -- from Hong Kong to Paris to Washington.
The 1970s crisis of confidence peaked in 1979, at about the same time gold prices went parabolic.
2. Central bank policy isn't working
After the U.S. stopped using the gold standard in August 1971, the Federal Reserve started playing a more important role in the economy.