Silver Bull Run Gathers Momentum: How to Trade Potential Rally to $50

investing.com:

Silver may finally break its multi-year consolidation, potentially catching up with gold's recent all-time highs and possibly targeting $50 in the long term.

Despite underperforming compared to gold and Bitcoin, silver could see a turnaround this year amid China's economic recovery and a renewed industrial demand.

Silver's technical analysis indicates a potential breakout from its 3.5-year consolidation and short-term traders should closely monitor daily price action for potential movements toward $30 or even $50.

After gold hit repeated all-time highs last week, silver may finally come out of its multi-year consolidation and start catching up with the yellow metal this week. A move towards $30 is not too optimistic.

But there is no major reason why the grey metal cannot go on to achieve its own record high this year.

After all, many other assets have done it like gold, Bitcoin, and many stock indices. Could we see silver at a record $50 at some point this year?

We all know what has helped to propel gold to record highs.

Years of high inflation and devaluation of fiat currencies have increased the appetite for gold (and Bitcoin), which many see as the ultimate store of value and an effective hedge against inflation. But this hasn’t yet underpinned silver.

I think it all boils down to silver’s dual uses as a precious metal and an industrial material. This has worked against it, given raised concerns about weaker demand from China for industrial metals.

But with signs China is turning things around, and with the government setting an aggressive 5% growth target, we may well see stronger appetite for industrial commodities like copper and silver this year.

This could be the year for silver, after its multi-year