50 Shades of Grey Metal : A Silver Price StorySilver BULL PHASE PRICE PREDICTION MODEL
1. Using Historical GOLD/SILVER Ratio:
The Gold/Silver ratio has once again demonstrated its value as a long-term cyclical indicator. Historically, readings above 100 suggest a significant valuation disparity in which gold becomes relatively expensive and silver presents an attractive upside opportunity.
In the current cycle, gold appears to have formed a top near $4,200, after which silver initiated a confirmed breakout. As a result, the Gold/Silver ratio has already compressed to approximately 70. Should this trend continue toward its historical mean near 40, the implied price target for silver becomes substantially higher.
Under the assumption that gold remains capped around $4,200, a ratio of 40 would project silver at roughly $105 per ounce. With the metal currently trading around $69, this scenario indicates a potential appreciation of approximately 50% from present levels.If we assume gold topping at $5000 and GOLD/SILVER ratio reach 45-40 then Silver price will be $110-125.
Gold tops at $4200 -> Silver $105
Gold tops at $5000 -> Silver $110-125
2. Using Silver Technical Analysis:
Technically, silver has completed a major breakout from a long-term rounded bottom—also known as a saucer pattern. This structure has been forming for decades, with the key resistance level sitting near $48, a price ceiling that held for almost 45 years. Silver’s decisive move above this historic barrier, followed by a surge to a new all-time high of $69, confirms the validity and strength of the breakout.
Using the measured-move methodology typically applied to rounded bottom/saucer patterns, the projected upside target for this formation comes in around $85. This level represents the technical completion of the pattern and serves as a logical intermediate target within the broader bull phase.
3. Using Historical Silver Bull Market as a Price Guide:
Historically, during the major bull cycles of the 1980 and 2011, silver advanced by more than 1,000%, underscoring its tendency for extreme upside acceleration once momentum takes hold. If silver were to exhibit a comparable structural move in the current cycle—supported by the strength of the recent breakout and the robust momentum profile—the metal could reasonably target the $140–$150 range. Such a move would represent an appreciation of roughly 200% above the previous all-time high, aligning with the magnitude of past parabolic phases observed in the silver market.
BOTTOM LINE
Considering the convergence of these three analytical approaches—combined with my market experience, as well as the prevailing sentiment and momentum—silver appears positioned to reach the $120 range as a reasonable and achievable target for the current bull phase.
CAUTION: EDUCATION PURPOSE ONLY. NOT INVESTMENT ADVICE. DYOR
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