The U.S. has been keeping the price of gold artificially low via paper contracts to prevent the further devaluation of the dollar. But this has made it easier for Russia and China to buy up and increase their already massive reserves.
In the event of the collapse of the dollar, Russian and China are well-positioned. It is believed that both countries are considering a gold-backed currency as a hedge against the U.S. dollar. If that were to happen, the U.S. dollar, which is not gold-backed, could lose its global dominance. While the value of currency will fluctuate, gold will retain its value. Precious metal has always been an island of stability amid economic chaos.
Russia and China have been very vocal in their efforts to increase their gold supplies, while the U.S. has remained vague on its actual gold reserves. The Federal Reserve claims to have 8,311 tons of gold, but the exact amount has never been verified.