Precious metals saw short-term pressure following President Donald Trumpās nomination of Kevin Warsh as the next Fed Chair šļøš, alongside position-trimming ahead of the weekend. But beneath the surface, the long-term story for gold and silver remains firmly intact.
š¬ Deutsche Bank remains confident:
āØ Goldās core investment drivers are still positive
š Investor rationale for holding gold has not changed
š Current conditions do not signal a sustained reversal in prices
š°ļø Todayās setup is very different from gold downturns seen in the 1980s and 2013
š¦ Barclays echoed a similar view:
ā ļø Yes, technicals look overheated and positioning is stretched
š”ļø But the broader bid for gold remains resilient
š Geopolitical risks, policy uncertainty & central bank reserve diversification continue to support demand
š„ Silver: Bigger Swings, Bigger Drama š¢
Silverās price action has been far more volatile due to:
š A smaller market size
ā” Higher volatility
š„ Heavier retail investor participation
š£ļø According to Zavier Wong (eToro):
š Speculative positioning has amplified short-term moves
š Retail-heavy flows make silver highly sensitive to sentiment
ā But blaming speculation alone is too simplistic
š The Real Silver Story: Industrial Demand šš¤
š¹ Strong demand from data centers & AI infrastructure
āļø Massive growth from solar photovoltaics
š Global silver demand projected at 48,000ā54,000 tonnes/year by 2030
āļø Supply expected to reach only ~34,000 tonnes
š Meaning just 62%ā70% of demand may be met
š Solar sector alone:
ā” 10,000ā14,000 tonnes annually
š Up to 41% of total global supply
š§ Bottom Line:
Silver may have run ahead of itself, but its fundamental demand hasnāt disappeared. As Wong puts it, this kind of overextension is something silver has always done during strong bull phases. š„š
Gold stays steady. Silver stays wild.
But the precious metals story is far from over. āØš„š„
#GOLD_UPDATE #GOLD #SilkRoadSaga #VitalikSells #xAICryptoExpertRecruitment
