Silver prices are approaching a critical breakout level at $34 per ounce, with analysts predicting a potential surge to $40 if this resistance is broken.
Market strategist Michele Schneider sees silver as increasingly attractive compared to gold, noting that the gold-silver ratio is declining from recent highs. This pattern mirrors 2020’s dramatic silver rally. Key drivers include anticipated Federal Reserve rate cuts, growing industrial demand, and silver’s role as an inflation hedge.
While gold remains valuable due to central bank buying and dollar weakness, silver may offer better near-term opportunities for investors watching the $34 threshold.