Demand for gold was already on the rise as people sought ways to hedge their investments against inflation. This stability is provided by gold because it is a tangible asset with a limited supply.

Further momentum was gained by a string of bank failures, starting with Silicon Valley Bank earlier this year.

According to Jonathan Rose, CEO of Genesis Gold Group, a precious metals firm in Beverly Hills, California, it was “a wakeup call.” He pointed out that Western Alliance went through a significant amount of stress after SVB’s collapse, which he could attest to since he had money deposited there.

As a result, interest in owning gold spiked as people sought tangible stores of value that were “not evaporating,” according to Rose.

In May, gold prices reached a one-year high of nearly $66,000 per kilogram, according to Goldprice.org.

According to the World Gold Council, Rose’s observations are supported by data.

During the second quarter of 2016, the US market for gold bars and coins reached its highest level in 13 years, according to a report published by the Council.

Demand was supported by the aftermath of the banking crisis and the tense US debt ceiling negotiations early in the quarter, according to the report.