The market for gold's practical use pales in comparison to the market for its monetary use. Remember that central banks still hoard billions of dollars of gold bars in safes guarded by soldiers. Gold is a $12 trillion dollar market cap, and not because people love using it in electronics or showing off bracelets.

All value is human made. A painting is not worth $800m until someone decides to pay that much for it. Fiat dollars are only worth anything because we trust that other humans will take it from us in exchange for stuff we want. When we stop trusting this system, it ceases to have value. This happens for example in hyperinflation events where whole currencies die.