this is where people need to separate PRICE, VALUE, VALUES
to understand how each impacts each other

golds values(features and benefits give it desire/demand)
gold value(underlying all this, is the underlying basic cost of acquiring it no one wants to sell below)
gold price is the value+values(underlying cost plus speculative variable of the desire/demand)

golds price is not its store of value. golds store of value is less then the gold price
golds store of value is about $900 right now whilst golds price is about double that.
the double(premium) of the price is a variable caused by the speculative whimsy of sentiment about the desire and demand based on what peoples values(sentiment of features/benefits) are.

..
now whats creates the value(underlying cost).
if no one wants it... miners wont bother mining it. meaning that they dont put much money into it. 

when something has a low store of value but a high speculative price.. that is a BUBBLE
when the price is low but the value is high. that is CHEAP/DISCOUNT/great value