Speaking on CNBC's "Squawk on The Street" today, Cramer said:
"I look at these moves and I find them breathtaking because it's so clear—again on of the things I talk about with Squawk and our cross talk—so many people are poorly positioned. And I think gold has some value here. I think silver has some value here but they are still downgrading…Credit Suisse downgrades a lot of the miners. Have you seen those stocks? I mean, the stress!"
He then went on to say:
"The Chinese buy gold, india buys gold, they're not buying any gold the actual buyer has been taken out of the market. The financial buyer seems to be blown out by margin calls. It is breathtaking."
"Cramer is completely right," says CNBC contributor Steve Cortes, Founder of Veracruz TJM. "It's been an emerging markets story. I think a lot of American gold investors don't really realize that."
Cortes says that gold has been beaten so badly, it has only up to go. But, when it comes to buying gold, he'd rather buy gold miners because dividend yields have gone up as their stock prices have gone down.
On the other end, Talking Numbers contributor Richard Ross, Global Technical Strategist at Auerbach Grayson, says the technicals are not as shiny for gold. Using Fibonacci numbers [we'll likely discuss those in the future in our Learning Center], Ross believes that a drop below $1,156.35 per ounce then sets the stage for the metal to head much lower.
Watch the video above to hear what mining stock Cortes would buy and where Ross thinks gold's last line of defense is.