2026-01-05 03:41:24

Silver Price Looks Promising: Rate Cut Window + Industry Demand Double Drive

The probability of a rate cut by the Federal Reserve in March continues to rise. According to CME Fed Funds Futures, the chance of a 25 basis point cut has reached 47.1%. Coupled with a softening dollar index, the upward channel for traditional safe-haven assets like silver is further opening.

Industrial demand remains robust. The global photovoltaic industry’s installed capacity continues to expand, and new energy vehicles are advancing rapidly. As a key conductive and welding material, the supply-demand gap for silver is gradually widening. This provides solid medium- to long-term support for silver prices.

However, attention should be paid to potential technical selling pressure in the first two weeks of January—caused by Bloomberg Commodity Index’s annual rebalancing. But based on historical data, passive silver reductions are usually less intense than gold. In a bullish market, such pressure is mostly a short-term correction, with no change in the overall trend.

Trading suggestions (Buy at 73.4, add at 72.4, protect at 71.3, target 77-79):

**Step 1: Enter the position**: Open long at 73.4. This level aligns with the hourly MA20 above, reinforced by the previous low of 73.2 forming a double support resonance, and the middle Bollinger Band not being effectively broken. It’s a healthy retracement within an uptrend, with precise entry points.

**Step 2: Add to position**: If it pulls back to 72.4, add decisively. This is the overlap of the MA60 and the previous consolidation support zone, forming a double support bottom. Reaching this level again confirms support, making it an efficient point to average down.

**Step 3: Stop loss**: Strictly hold at 71.3. This line marks the lower boundary of recent consolidation and a key position of the daily upward trend line. If broken, the death cross of MA60 and MA120 indicates the short-term bullish structure is broken, and risk should be promptly avoided.

(Disclaimer: For personal sharing only, not investment advice)

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FUD_Vaccinated

· 01-06 20:23

The silver price this time is really reliable, with a double boost from interest rate cuts and industrial demand. The medium to long-term logic still holds.

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SatoshiNotNakamoto

· 01-06 05:16

The story of Silver is always the same, rate cuts + industry demand, sounds perfect, but when it hits 71.3, you still have to run.

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BlockchainTherapist

· 01-05 04:09

Silver really has some potential this time, with interest rate cuts + photovoltaic new energy walking on two legs, the logic is quite solid.

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MemeKingNFT

· 01-05 03:55

Silver this wave... feels a bit like the blue chips of NFTs back in the day. Double support forming a bottom and then aggressively going long. I need to learn from this. --- Cutting interest rates + driven by real demand, sounds like "the rise and fall of the mainland" from the Book of Songs, but in reality, it's just bearish on the US dollar. --- If 71.3 doesn't hold, a death cross will form. I know this logic well; the crypto world has played it before, and the result was a night back to the pre-liberation era. --- Open a long at 73.4? I always have this feeling of being washed out... --- On-chain data tells me early predictions are crucial. The silver price this time also depends on on-chain capital flows, otherwise just looking at technicals is too superficial. --- Adding to positions to average down is really smart. I thought the same way about my NFTs back then... and now they’re still sitting in a cold wallet. --- Trade with the trend, but be cautious of the technical selling pressure from the first two weeks of January. Market sentiment can sometimes be more ruthless than fundamentals.

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GasWrangler

· 01-05 03:54

technically speaking, those support levels are empirically sound but you're missing the actual inefficiency here - the real alpha is in understanding the mempool pressure during that rebalancing window, not just staring at ma crossovers like everyone else

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SandwichTrader

· 01-05 03:43

Expectations of interest rate cuts + industry demand, silver indeed has confidence this time. Entering at 73.4 still requires caution, as there may be fluctuations in the past two weeks.

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