Silver’s unsung strength

Despite widespread bearish sentiment following silver's sharp pullback from its peak near $116 per ounce, market analysis highlights that silver is exhibiting substantial underlying strength and resilience. Silver experienced a massive 455.2% bull run over nearly 28 months, capped by a 149% parabolic surge in late January that left it 144.3% above its 200-day moving average. The subsequent correction saw silver bottom above $55 in mid-July, representing a 52.3% drawdown over 5.6 months. While the price halving triggered extreme pessimism among retail and speculative traders, technical and historical indicators suggest this post-parabola correction was relatively mild compared to historic collapses like 1980's 76.9% plunge. Furthermore, silver has averaged around $74 year-to-date in 2026, up 116.7% over the comparable 2025 period. Technically, silver carved out and broke out from a bullish falling wedge pattern alongside gold. Additionally, the gold/silver ratio has averaged 65.4x over recent months, displaying silver's best relative strength against gold in over a decade and positioning the metal for renewed upside momentum.