Silver Could Be Setting Up to Reward Investors Immensely
The price of silver has been quietly setting up for what could be one of the biggest moves in years. While the financial media is busy hyping up the hot stocks, the silver market is something that could be really worth watching. We could be seeing the price of silver hitting $50.00 much sooner than later if the current conditions remain.
You see, history suggests that, when silver prices start moving, they move extremely fast—and investors who own the precious metal could reap the biggest rewards.
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Now time for some perspective…
The price of silver has a very high correlation with the price of gold; as gold moves higher, silver follows. The same happens in the opposite direction as well—when gold falls, silver falls.
But here’s the thing: gold usually starts to move higher first, and then silver plays catch-up.
The Last Two Times This Happened, the Price of Silver Surged Close to $50/Oz
Take a look at the chart below; it plots silver and gold prices in the later 1970s. The price of silver went from being largely ignored at first to investors rushing in after it began trading for between $5.00 and $7.00 an ounce. In a matter of months, silver went from around $5.00 to $50.00 an ounce.
Chart Courtesy of StockCharts.com
We saw some very similar action between 2010 and 2011. Take a look at the chart below.
Chart Courtesy of StockCharts.com
Gold started to move higher in early 2010, but the price of silver remained relatively flat. As the trend in gold prices got bolder, silver started to get investors’ attention.
Once again, within months, the price of silver went from around $15.00 an ounce to $50.00 an ounce.
What’s Ahead for the Price of Silver Now?
Gold prices are really starting to move. Essentially, since 2023, the yellow precious metal has been unstoppable. It broke above $2,000 an ounce in late 2023 and recently surpassed the $3,000-an-ounce level, but it could go even higher.
The price of silver, in the meantime, has shown some serious lag. Despite gold breaking above all-time-high prices, silver is just starting to break above its 2021 highs.
Chart Courtesy of StockCharts.com
Silver Outlook for 2025: $50/Oz Could Happen Sooner Than Later
So, bringing everything together…
Dear reader, make no mistake: the silver market doesn’t wait for investors to catch up. As I have said before, history has shown that, when silver moves, it moves fast. Within months, the price has the potential to make some obscene moves.
The correlation between gold and silver prices is suggesting that silver is overdue for a move, so investors should pay close attention. If history repeats itself, silver could soon enter an explosive upward phase.
If the stars continue to align like they did in the past, 2025 could be the year when the price of silver makes big run towards $50.00 an ounce, if not higher.
It might just be matter of time as to when the new headlines will announce that silver was one of the best-performing commodities in 2025. I know this sounds bold, but I would not be shocked if the price of silver were to beat the S&P 500 and gold prices by a very large margin when it comes to percentage change.
Lastly, pay close attention to silver miners. Even the stocks of the biggest miners of this precious metal are lagging well behind the price of silver, and it looks like investors just see them as risky investments at the moment. If silver prices see a robust move to the upside, these mining stocks could double or triple or increase even more very quickly. However, just remember that they do come with significant risk.
