Abstract The Gravity Recovery And Climate Experiment (GRACE) mission has achieved a quantum leap in knowledge of the Earth's gravity field. However, current gravity field solutions still cannot reach the prelaunch baseline accuracy. One of the reasons for that is the presence of colored noise in GRACE data, which is typically ignored in the classical dynamic approach to gravity field modeling. In this research, we propose to account for colored noise in the classical dynamic approach by applying the frequency‐depe…