Analysts have been warning investors for the last couple of weeks, as prices broke solidly above $2,800, that the gold market was looking a little overbought. So, it’s not surprising that we are finally starting to see some profit-taking, as gold prices have rallied more than 11% so far this year.

Silver, on the other hand, is much more frustrating to trade. Despite its bullish fundamentals, it has not seen the same gains as gold. Silver is also more unpredictable, as it is twice as volatile as gold. We saw this volatility in action on Friday. Overnight, silver broke above initial resistance at $33 and rallied all the way to $34 an ounce. Unfortunately, the move attracted some major selling pressure, and silver is now ending the session down more than 4% from its highs, trading at $32.67 an ounce.

Although silver’s selloff is disappointing, many analysts recommend that investors look beyond the short-term volatility and remain focused on the long-term picture. A growing chorus of analysts are extremely bullish on silver as demand continues to outweigh supply.

Many analysts expect silver to eventually outperform gold, but investors will have to be patient. Right now, gold is the in-demand safe-haven asset as investors try to protect themselves from geopolitical turmoil and economic uncertainty.

For many investors and analysts, it’s only a matter of time before gold prices reach $3,000 an ounce; however, that could prove to be a minor level in a much bigger rally. This week, Bank of America highlighted what it would take to get prices to $3,500, and it’s not impossible.

In his latest research note, BoA Commodity Analyst Michael Widmer said that a 10% increase in investor demand would push gold prices to $3,500. It’s not inconceivable for investment demand to hit or even surpass that objective, as ETF demand is just starting to pick up and remains well below levels seen during gold’s last run to record highs in 2020.

Investors are also continuing to get help from China. Last Friday, Chinese authorities launched a pilot project that would allow 10 insurance companies, including the country’s two biggest, to put up to 1% of their assets in gold. According to Bank of America, Chinese insurance companies could buy up to $28 billion in gold, equaling about 300 tonnes, which would represent about 6.5% of annual physical demand.

And let’s not forget that President Donald Trump’s unpredictability will prompt central banks to continue adding gold to their official reserves. It’s difficult to be bearish on gold and silver when there is solid long-term demand providing significant support in the marketplace.

That’s it for this week. Have a great weekend!

According to recent data from Goldman Sachs, there has been a dramatic uptick in ‘short’ bets against U.S. stocks, indicating a widespread belief in an impending market collapse. Throughout January, investors placed ten times more bets on American stocks declining than on their continued growth, reflecting deep-seated concerns about the market’s trajectory under Trump’s leadership and sparking concerns about “Trump’s wrath.”

This financial maneuver comes amid a week where major U.S. tech stocks lost $600 billion in value, driven by fears surrounding the rise of Chinese AI competitor DeepSeek, which has challenged the dominance of American tech companies.

“The increase in short bets against U.S. stocks likely reflects concerns about macroeconomic uncertainty,” warned Bruno Schneller, managing partner at Erlen Capital Management to the Daily Telegraph.

The optimism that followed Trump’s re-election led to an unprecedented capital influx, with hedge fund assets reaching a record $4.5 trillion. However, this has now shifted to pessimism, with hedge funds betting against the economy they once championed. While hedge fund billionaires could profit immensely from a market crash, the real losers might be ordinary American investors, whose retirement funds are at stake.

“We’re definitely not betting against President Trump’s economy,” said Jonathan Rose, CEO of Genesis Gold Group. “We are, however, predicting that physical precious metals will be the ultimate beneficiaries of his policies which is why we encourage Americans to do tax-free rollovers and transfers into a Genesis Gold IRA.”

Executives at Elliott Management, a notable hedge fund, have expressed concerns in the Financial Times that Trump’s policies might be inflating speculative bubbles that could “wreak havoc” upon a market crash. The Wall Street consensus seems to be that the market is teetering on the brink, with potential fallout that could be devastating in the very near future.

Trump’s presidency has been backed by influential hedge fund leaders who initially viewed him as a catalyst for unlocking corporate America’s potential. However, a market collapse could leave Trump’s economic supporters facing significant financial losses.

The catalyst for this market panic is the emergence of DeepSeek, a Chinese AI company whose innovative chatbot has triggered a massive sell-off in U.S. tech stocks. DeepSeek, backed by the Chinese hedge fund High Flyer, is known for its sophisticated algorithmic trading strategies.

This scenario might provoke a sharp response from Trump. Allies of the president have hinted at possible regulatory crackdowns on Wall Street’s excesses, especially given this apparent bet against America’s economic stability.

“Whether President Trump hits the hedge funds or not, the prospects for gold and silver remain very high even as they continue to break records,” Rose concluded.

Learn how Genesis Gold Group can help you with a tax-free, penalty-free shift of your retirement accounts away from volatile markets and into the safe havens of physical precious metals.

After predictions from last year’s conference came true, including the election of President Donald Trump, Kitco was anxious to get his latest round of predictions. This year, his focus was on the U.S. national debt and Federal Reserve policies that he believes will drive gold and silver prices through the roof.

“This is what happens when the U.S. keeps printing ‘fake money,’” Kiyosaki said. “Every time they add another trillion to the debt, the purchasing power of the dollar drops. Gold and silver don’t get more expensive – your dollars just buy less.”

What does that mean for prices? According to Kiyosaki, it could push gold over $15,000 per ounce and silver over $70 per ounce.

“He’s not alone in his hyper-bullish stance,” said Jonathan Rose, CEO of Genesis Gold Group. “This is why we guide Americans so they can back their retirement with physical gold and silver.”

Genesis is a faith-driven precious metals company that helps people with tax-free rollovers and transfers of their retirement accounts. They offer a free Wealth Protection Kit for those interested in gold and silver.

“I’m predicting $70 silver,” Kiyosaki said. “I’m very bullish.”

Even if the economy, driven by debt and the U.S. Dollar, stabilizes under President Trump as many are predicting, it’s reasonable to expect gold and silver prices to rise just as they did in his first term in the White House. Gold rose 51% during his first four years in the Oval Office and the potential this time is much higher.

Americans who want to learn about the “safe haven” of physical assets like gold and silver can reach out to Genesis Gold Group today.

Image via Gage Skidmore.

Since gold prices hit a recent low a week before Christmas, they have risen dramatically. And once President Trump was inaugurated, prices rose sharply again. Some of this can be attributed to the changing financial landscape across the globe but economist Eric Strand believes the biggest reason is how President Trump and trusted advisor Elon Musk view the creation of fiscal prosperity.

“Both Donald Trump and Elon Musk have built their empires on loans, lots of loans, while driving full steam ahead,” Strand said in his report. “This will likely be the scenario for the coming four years. Avoiding a ‘bust’ at all costs to create a positive ‘boom.’ The price for this will be monetary inflation. An inflation boom creates a financial environment where commodity prices, including gold, rise significantly.”

While U.S. government debt has risen to historic levels, currently above $36 trillion, Strand noted that the U.S. is not alone. He highlighted that governments worldwide continue to engage in deficit spending.

“The amount of money in the system is increasing without much real growth being created, which naturally means that each monetary unit becomes less valuable,” he said.

These comments come as gold prices continue to trade near record highs against major currencies including the euro, British pound, yuan, Canadian dollar, and Australian dollar.

But there’s another policy that keeps investors focused on precious metals: Central Bank buying. Most of the world’s Central Banks continue record purchases of gold and some have branched into silver for its utility.

“We’re bullish for our clients on both gold and silver,” said Jonathan Rose, CEO of Genesis Gold Group. “Economists like Eric Strand who think gold can end 2025 over $3,300 may be underestimating.”

Genesis Gold Group is a faith-driven precious metals company that specializes in tax-free rollovers and transfers of retirement accounts into gold- and silver-backed IRAs.

Despite the bullish outlook in his 2025 forecast, Ole Hansen, Head of Commodity Strategy at Saxo Bank, recommended that investors be discerning as they build a commodity basket within their portfolios. Gold and silver remain two of his top picks after their historic runs in 2024.

Americans can take advantage of the “safe haven” properties of physical precious metals through the IRAs and 401(K)s. Learn more by requesting a free, definitive Wealth Protection Kit from Genesis Gold Group.

Even if other economic indicators show positive signs, there is no way to get around the ballooning debt ratio that threatens both worldwide markets as well as retirement accounts like IRAs and 401(K)s. This is why physical precious metals remain the strongest safe haven assets in these uncertain times.

“The sky-high debt ratio is a cause of serious concern, especially so as it has been increased in a period of extremely low interest rates, a result of central bank policy, and the already existing debt has been refinanced at very low borrowing costs,” said economist Thorsten Polleit.

Tens of thousands of Americans have been taking advantage of tax-deferred rollovers and transfers of their retirement accounts into Genesis Gold IRAs backed by physical gold and silver. They see the stability that precious metals demonstrated after the election and realize that getting ahead of a near-future debt crash makes sense.

Doing so comes with risks as unscrupulous companies have been taking advantage of the uncertainty. They’re offering silver “gifts” or “bonus” silver to entice unsuspecting Americans into paying too much for their precious metals. This is where Genesis Gold Group, a faith-driven company, differentiates itself from other companies.

“Our focus from the beginning has been to help Americans protect their wealth and retirement through sound practices, not gimmicks,” said Jonathan Rose, CEO of Genesis Gold Group. “We don’t play the games that other companies in the industry play and our clients have benefitted from that just as much as they’ve benefitted from our strategies.”

Gold IRAs are not created equal. Genesis has focused on building the proper metals mix that maximizes the safe haven of physical gold and silver. Their 2025 Wealth Protection Kit is now available for free and offers the definitive insights necessary to navigate the uncertainty.

President Trump is poised to guide the country out of the economic quagmire we’ve been in since the pandemic. Genesis Gold Group is uniquely positioned to help Americans advance their retirement accounts and take advantage of safety physical precious metals provide.

Kitco analysts predicted a 5%-10% correction following the election and we’re currently in that range. As they recently noted, it’s now just a question of when the next surge begins.

“Gold is set to explode once this necessary and healthy correction has run its course, simply because there is no way to avoid a material dollar devaluation next year to deal with out-of-control federal government deficits and debts, while the Fed is in a lose-lose situation. If the central bank raises rates, we head into a recession. If they continue to cut rates, inflation will rise even further.”

Confidence in the coming Trump administration has already been evident in several markets, including stocks and cryptocurrencies. This, too, was widely anticipated because of the economic stability Trump’s policies will bring. Geopolitically, a calming of calamities has already begun over two months before his inauguration.

As Jonathan Rose, CEO of Genesis Gold Group, highlighted before the election, there is one factor that made him plan properly for his company’s future under a Trump administration.

“Unlike most gold companies, we are rooting for Trump to win because we know what it will mean for the long-term,” he said on the even of last week’s election. “Of course his win will help the nation, but it will also be a huge positive for precious metals because it will finally bring the 800-pound gorilla into the spotlight: national debt.”

Precious metals companies have been thriving under the fear of a potential Kamala Harris regime. But Genesis Gold Group positioned its retirement offerings based on confidence in a Trump victory. The “fearmongering” over CBDCs, geopolitical turmoil, and BRICS had been heavy but there’s now a sense of confidence in how the financial world will react to a Trump administration.

The positive economic benefits will bring the national debt into focus, and that will be good for gold and silver prices. This is why Rose believes it’s time to take advantage of the lower prices immediately.

“This is the correction before the surge,” he said. “Many analysts are putting gold at over $3,000 per ounce next year. Others are pointing to higher numbers. After that, the crystal balls become fuzzy but the roadmap points to steady growth which is perfect for rolling over or transferring retirement accounts today in the midst of the healthy correction.”

Genesis Gold Group specializes in helping Americans protect their wealth or retirement with physical precious metals. Learn how they can help you take advantage of the Trump administration’s economy with their free Wealth Protection Kit.

We can say this in the knowledge that over long periods the purchasing power of gold is remarkably stable, while those of fiat currencies are not. This is why everyone should examine their exposure to credit, which is always fiat usually with systemic risk thrown in (unless you hold cash notes). But we are all human, and from time to time worry that the headline values of our gold or silver might fall and we have missed a selling opportunity.

Having broken into new high ground, there is no doubt that there’s much speculation embedded in gold and silver prices. While we should not tie events together to tightly, this build up has been ahead of the BRICS summit in Kazan next week, with speculation that a new trade settlement currency backed by gold might be announced. Well, President Putin said on Friday that “talk of creating a single currency for the BRICS grouping was premature”. It is not ruled out, only it is not for this agenda

That would suggest that this coming week will see profit-taking in gold and silver and perhaps a shake-out of speculative longs as their stops are triggered on Comex. But Putin made his statement deferring the introduction of a new currency on Friday, after which gold and silver soared higher. It was probably wrong therefore to associate rising prices for gold and silver with speculation about a new BRICS currency.

The other material statement was that Putin was open to admitting new members. A few weeks ago, I suggested that this could be accelerated by creating a class of associate members as a stepping stone to full membership and I would take this to now be the case. Could that have been behind the surge in gold and silver?

We cannot know. But looking at last night’s Commitment of Traders figures for last Tuesday and adjusting for Open Interest since then it is clear that gold is now in overbought territory, but could go further.

A consolidation here would be the healthy outcome, at least from a technical point of view. We can bet that central banks and other statist interests would welcome the opportunity to pick up some cheap bullion, underwriting the market. And recently, Russia announced that it was in the market for silver bullion. That’s our last chart.

I wouldn’t rule out a back-test, maybe to $30.50 or so. But the bullish message of the chart is clear. And even that might not happen.

Reprinted with permission from MacleodFinance Substack.

In 2023 alone, the silver market experienced a 15% supply deficit. Furthermore, the market is expected to reach a cumulative deficit of 1,093.4 million ounces from 2020 to 2024.

In this graphic by Outcrop Silver, Visual Capitalist’s Bruno Venditti discusses how new mines are necessary to meet the high demand for the metal.

Silver is Essential for New Technologies

According to Sprott, Silver is second only to oil as one of the most widely used commodities, with more than 10,000 applications worldwide.

The metal is a key component in photovoltaic cells used in solar power. The average solar panel requires 20 grams of silver.

Electric vehicles also use between 25 and 50 grams of silver.

In addition, the metal is essential for semiconductors, controls, sensors, and LIDAR technology in AI-enabled transport. Silver is also critical in healthcare AI, through conductive silver nanoparticles in wearable electronic skin patches.

The average cell phone contains 0.34 grams of silver.

The Risk of a Supply Gap

Despite silver’s importance, declining ore grades and depleting reserves at existing mines are reducing the metal output.

The industry also suffers from a lack of investment in primary silver mines. Today, over 70% of silver is mined as a byproduct of gold, copper, and other metals.

Production is also concentrated in three countries—Mexico, Peru, and China—which together account for half of global silver production.

The Future of Silver

If current circumstances continue, new mines will be necessary to meet the growing demand.

Outcrop Silver is quickly advancing the Santa Ana high-grade silver deposit in the Mariquita District, known as the highest-grade primary silver district in Colombia, with historic silver grades among the highest in Latin America.

The Indicated Grade for the Santa Ana project is ranked the second highest in the world.