Dr. Doolittle had his pushmepullyou. Coin collecting has supply and demand. The current scenario pits supply against demand. It’s a mixed bag as to which triumphs. In some situations, this may equate to whether it is the collector or the dealer who holds out longer to get his price.
There are currently a significant number of intrinsic value coins for which dealers are asking prices exceeding what buyers are willing to pay. The First Spouse gold coin market flatlined over this situation. It appears the same may happen not only with coins that trade near bullion values but with scarce to rare coins as well.
There are also a reasonable number of scarcer-date coins entering the market for which there is no recent track record. Some dealers offering these coins are setting their prices optimistically when comparing these prices to what had been realized, in some cases, as much as 10 years earlier. Can they get the price they are setting for such things as Seated Liberty silver dollars and other areas with low demand is the question.
Just because a coin hasn’t been available in some time doesn’t mean it must sell for a higher price than it did in the past. The economic environment has changed. Demand is spotty as the market for collectibles – all collectibles – continues to stay out of favor with investors.
Collectors are present and active, but they are selective. How many scarce to rare coins will realize appreciating prices is yet to be seen.
This article was originally printed in Numismatic News. >> Subscribe today.
More Collecting Resources
• More than 600 issuing locations are represented in the Standard Catalog of World Coins, 1701-1800 .
• The 1800s were a time of change for many, including in coin production. See how coin designs grew during the time period in the Standard Catalog of World Coins, 1801-1900 .