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Yes, "condition is condition", but I've come to learn that in certain circumstances, especially with advanced age, those condition/value rules need to be relaxed - since what you are seeing is all that remains outside the unobtainium in museums.
As far as tracing it's history - If you can't go backwards, through previous owners - then I would suggest trying to go forward, starting with Colt records/letter (admittedly a few $$$), and to where/who they shipped the revolver when new.
Then, depending upon those results, I would search CW militia and State and Army units that originated in that area, for any possible record of official provisioning lists, w/serial numbers.
For example - I once found a listing of serial numbers for some firearms issued to Army troopers prior to the battle of the Little Big Horn in 1875, that one could use for comparison to an example of what is claimed to be a Custer piece.
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