An automatic gain control system with hysteresis switching includes an error calculator for calculating the difference between a first estimation signal and a take over point (TOP) value to produce an error signal. A hysteresis comparator compares the first estimation signal and the TOP value to produce a control signal. A first gain control loop generates a first gain control signal based on the control signal to control a gain of a first variable gain amplifier. A second gain control loop generates a second gain control signal based on the control signal to control a gain of a second variable gain amplifier. As the first estimation signal leaves a hysteresis region of the hysteresis comparator, the first gain control signal is monotonically decreasing and the first gain control signal is monotonically increasing. As a result, the total gain is stable.