2022 silver, price predictions, projections, and five-year forecast
beyond a shadow of a doubt.
In my opinion that gold and silver are currently under valued.
Even the odds are very high that we're going to see Triple digits over
as you and many.
Others have said at some point in this cycle.
You can see there's a very big range there.
Some are very pessimistic.
Some are very optimistic.
The some see basically silver going nowhere for the year.
So I tried to get a good representation of what people outside of
goldsilver.com are thinking.
So I thought that was very interesting.
So where's a hybrid metal?
It has both monetary qualities and a growing base of industrial uses
that are continuing to grow.
I mean,
Every week every month or is New Uses of sober that are being found.
And now with the trillion dollar infrastructure budget, that's passed.
You know, a lot of that is going to start hitting silver demand now
soon.
So you have to look at in my opinion both industrial use and monetary
use for silver in order to evaluate it properly.
One of the things I noticed.
Is that the highest price prediction for
For 2022 is $50 that it, you know, it could hit $50.
So some of these professional firms thinking that it could go back up
to a tie of 1980.
It's high of 2011 and then there are some price predictions that are
higher than that $100 possible in the coming years.
So it's not a 2022 prediction, $500 possible, this decade, not a
22 prediction.
So the highest that they are predicting is a potential by the end of
the year of $50.
I just find it interesting.
That people, are they really hedged their bets here?
All of these professionals, they beg, most of them go pretty
conservative.
The ones that said that $50 is possible this year were actually those
were the balls but there's very few of them.
Here, most of them.
And and the fact that you couldn't find very many people willing to
even give a prediction hybrid Metals with a dual purpose and dual
catalysts.
That is very, very important because it's the industrial demand that
currently takes silver off of the market and usually forever, you
know, a lot is most of the silver gets dumped into landfills.
After it's used industrially, it isn't recycled.
And so that keeps inventories low, when the economy is growing and
when we're making more things like you're going to cover in a minute,
some of the things that we're making that have jumped that keeps the
supply low.
So that when the second Factor, the investment demand comes in there,
there isn't enough to go around and then the price goes through the
roof. The industrial demand is going
nowhere, but up.
There's no analysts out there.
That think that that's saying industrial demand for sober is going to
fall.
You can see here.
I there were many examples of analysts saying this.
I used the silver Institute 13 percent jump in photo voltaic demand,
which is basically son panels, 10% game to me like electrical and
electronic sector 10%.
And
Hardcore industrial uses.
So there's really you know, it dusty'll the push on in dust on Silver
for industrial uses is is going to get greater and greater.
And so that that's going to play into this idea.
That more and more sober is going to be used.
And one thing I didn't touch on in the article.
Mike is Supply, is actually commenting down.
It's been going down every year since 2000, 16 total Global silver
Supply Welling since 2016.
The big factor that fluctuates the most is investment demand and so it
can be low.
It can be very high.
It can be soaring.
It can be declining.
The you know, what we think is happening.
Now what we see based on 2021 is that investment, demand is climbing
and climbing, very strong.
So there's no reason to expect that investment demand, won't continue
to be strong in 2022.
There were basically three ways to predict the silver price.
I wanted to outline in this article again.
Our constituency probably knows a lot of these things, but the first
was investment demand.
If investment, demand is going up, the price tends to Trail it.
So there's any increase in investment demand and then the price react,
so that would suggest that in 2020 to the silver price is going to be higher.
I wanted to look at the highs the cycle highs in the cycle lows in the
gold and silver prices, right?
Correspondent that with the gold silver ratio.
So, in this chart, I marked where the cycle high was for prices and
where the cycle low was for prices, and then I inserted the gold,
silver ratio ratio and you can see that in almost every circumstance,
but maybe one or two, the cycle high for the gold, silver Ratio or the
cycle high in their prices correspond to a
Hello in the gold, silver ratio, and vice versa, aloe in their prices
correspond to a cycle low and a high in the gold silver ratio.
If I'm making a lot of sense there so and you can see also inserted
the average for the gold silver ratio since what is that 50 years?
So it's around 50 between 55 and 57 depending on how far back you want
to measure it, but you can see this is about a week ago where we were
at.
Gold silver ratio of 80.
When I wrote this article.
Are you getting good value for silver?
If you're buying at that time, you know, after 75 or 80, I just can't
allow myself.
I want to buy gold whenever there's economic crisis, going on, but I
just will not allow myself.
If it's, I only buy silver.
If it's up at these ratios silver Trails, go to the beginning of bull
markets, but then catches up and passes gold on a percentage basis
before the bull market is over and in that chart.
Art, you can see in the far right there.
Now some people will use different time frames, Mike, you might even
to, but I use the 2018 low there.
I think it was August of 2018, when gold seemed to bottom.
So I use that as the starting point.
Again, some people might use a different date, but you can see that.
So we're trailed gold then caught up and passed it, but you can also
notice that this would be one of the lowest returns.
You see at the top very have the, the
Turn for each of them 52 percent.
So that would be one of the lowest returns in a bull market for gold
and silver historically.
So this implies that we're going to move higher and of course, silver
will pass gold in that instance, meaning it's likely to go up this
year and the next few years, if we get a big stock market crashed over
could suffer in that instance, what that, you know, what could happen
to the price there, but the likelihood is
I believe, in my opinion that's over is higher in 2022, is 90%.
So and of course, I even the odds are very high that, you know, we're
going to see Triple digits over as you and many others have said at
some point in this cycle.