This is especially true when the long-term bullish thesis on silver (discussed below) has not actually been invalidated. Given these parameters, in my opinion, silver is about to enter another bull market phase of this current market cycle. While this expectation of rising rates may be doubtful, this evolution would have a more pronounced effect on gold than on silver. To get a better idea of whether silver is overbought or oversold in the trading markets, it is important to keep track of the Live Silver Price.Even though I'm a silver bull, I must warn you that nothing you can own has a price that goes up in a straight line all the time.
The same is largely the case with gold prices, but silver is subject to considerably greater volatility than gold. As a general rule, when the supply of money in a country increases, commodity prices and the price of tangible assets (such as precious metals) tend to rise. I still have good reason to believe that silver is an undervalued asset compared to other investments. All of this justifies the forecast that silver prices will rise by 50% or more by the end of this decade.
When the demand for silver remains the same and yet there is more money in the economy looking for the same amount of resources, the nominal price of those resources increases. The three key factors discussed below will have the greatest impact on the price of silver over the next 7 to 10 years. Market volatility means that some investors will sell silver to cover losses elsewhere in their investment portfolios. Historically, compared to other major investment assets, silver would continue to be relatively undervalued at this price level.
The dollar and, consequently, the sharp fall in inflation expectations broke the centuries-old fall in silver that began in the first quarter. In fact, during periods of rapid economic expansion, there is usually a negative correlation between the price of silver and the USD.