Silver Faces Volatility after Skyrocketing to Record Highs in Early Year

Physical Market Tightness

The primary driver of silver's eye-watering gains remains a severe shortage in deliverable supply. As silver is mostly a byproduct of lead and zinc mining, production cannot be ramped up quickly to meet the surge in industrial demand from global electrification projects.

Technical Support Watch

Traders are watching the $85.00 level as the primary support on any pullback. With RSI indicators reaching overbought territory, market analysts favor a period of consolidation before silver attempts a move toward the psychological $100 barrier.