2025-12-11 19:47:00
The price of silver is sprinting to yet another record, surging approximately $2.00 (3.40%) on the day. This latest move caps a historic run for the metal, which is now up over 120% year-to-date.
Silver’s explosive move to over $64.00 per ounce in 2025 is being driven by a “perfect storm” of five fundamental factors:
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Chronic Supply Deficit: For the fifth consecutive year, global demand has outpaced supply. Mining output remains flat while above-ground stockpiles have plummeted to critical lows.
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Explosive Industrial Demand: The “green” revolution is draining physical inventory. New solar panel technologies, EVs, and AI data centers are consuming record amounts of silver for its superior electrical conductivity.
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Strategic Stockpiling in Asia: China and India have shifted from “just-in-time” buying to aggressive stockpiling. India is importing record volumes, while Chinese industry secures reserves to prevent shortages.
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The “Gold Effect”: With gold breaking $3,000/oz, silver has surged as a more affordable “catch-up” trade and a hard-asset hedge against sticky inflation and new tariffs.
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Technical Breakout: Smashing through the historic $50 resistance level triggered a wave of speculative and algorithmic buying, creating a self-reinforcing price loop.
Silver Technical Analysis: Bulls in Total Control
Looking at the daily chart, the technical structure remains decisively bullish. The buyers established a strong base during the correction in October and November, where price lows held against a key trend line. This gave the market the confidence to push higher.
After testing the October high near $54.46 in mid-November, the price broke out on November 28th and raced toward the $60.00 level. Following an initial peak near $59.35, the rally extended above the psychological $60.00 mark on Tuesday.
Crucially, the price also shattered the 161.8% Fibonacci extension at $59.97, pouring fuel on the bullish fire. The momentum over the last three days has been relentless:
Key Levels to Watch:
Technically, the price has now breached the 200.0% Fibonacci extension at $63.37. This level now acts as immediate risk support for aggressive traders, with the $60.00 level providing major support for conservative positions. A move below these levels could signal corrective action. On the topside, the market is in “blue sky” territory on any break above today’s high of $64.30.
Gold Analysis: Breaking Resistance, Eyeing All-Time Highs
Gold is also enjoying a strong session, currently up $45.50 (1.08%) trading at $4,273.80.
While Silver has outperformed in percentage terms this year, Gold’s rally is nothing short of historic. The yellow metal is up $1,650 (62.87%) year-to-date and sits just $110 away from its all-time high of $4,381.48.
Fundamental Drivers for Gold:
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US Debt & Debasement: With US debt passing $38 trillion, investors view Treasuries as increasingly risky, buying gold to hedge against inevitable money printing and currency dilution.
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Central Bank Buying: Nations like China and India are aggressively swapping US dollars for gold to “sanction-proof” their reserves, creating a massive price floor.
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The Fed’s “Stealth QE”: The Federal Reserve continues to cut rates despite sticky inflation, reducing the opportunity cost of holding gold vs. bonds.
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Geopolitics: Ongoing trade wars and conflicts in the Middle East and Europe have built a permanent “fear premium” into the price.
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Western FOMO: After sitting out the early rally, Western institutional and retail investors have flooded back into Gold ETFs, chasing performance and safety.
Gold Technical Outlook
Technically, Gold is breaking out of a consolidation phase. The price is pushing above the recent November and December highs located between $4,243.92 and $4,262.32.
Today’s session high reached $4,285.98, confirming the breakout. This move opens the door for a potential run toward the year’s high—and the all-time record—at $4,380.79.
Conclusion and Video Commentary
In the video above, I (Greg Michalowski, author ofAttacking Currency Trends) walk through the silver and gold technical landscape, identify the precise risk parameters traders should monitor, and outline the next upside and downside targets that matter most.
Be aware. Be prepared.
