NEW YORK (TheStreet) -- Tensions in Ukraine are lessening and with it the price of gold. TheStreet's Gregg Greenberg spoke to Thomas Vitiello, partner at Aurum Options Strategies, who said that with the prospect of war on Monday, gold had a good day. However, it should have rallied more. 

Gold's failure to rally significantly on Monday led him to believe the situation would be quickly defused.

He added that interest rates, which many investors thought would rise in 2014, have also helped gold in its price recovery. As interest rates have fallen in the past several months, gold prices have been given some support. 

There's also been solid demand for physical gold. However, the usual buyers out of Asia aren't the ones buying, Vitiello said, although he admitted he didn't know who was buying in February. 

Technically, he said, gold needs to hold $1,315 to $1,318 or it could retest $1,300. Above $1,355, gold could break out and make a run to $1,400, Vitiello concluded.

-- Written by Bret Kenwell in Petoskey, Mich.

Bret Kenwell currently writes, blogs and also contributes to Robert Weinstein's Weekly Options Newsletter.