Gold or Silver: Safe Haven or Future Opportunity?

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tony2017Full Member
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#1Mar 23, 2023, 02:31 PM
Back in 1973, three brothers from a rich family in the US started investing big time in silver when they noticed the US dollar losing value. At that moment, silver was priced between $1.5 and $2 an ounce. These guys bought so much silver that they ended up controlling nearly a third of the global supply. Their massive purchases created an unexpected shortage in the market. By 1979, silver prices rocketed from $1.5 to almost $50, which is a 25x increase in just six years. With prices soaring, people thought silver was going to be the next big asset. Many ended up taking bank loans, selling their properties, and investing everything in silver. This got the US government worried since it could lead to major instability in the global economy. So, on March 27, 1980, the US government decided that buying silver was no longer allowed people could only sell it. After this announcement, silver prices plummeted from $50 to around $10. Those three brothers went from billionaires to bankrupts overnight, and a lot of regular folks got wrecked too. This incident has gone down in history as "Black Thursday." For a long time after, silver didn’t see any significant price increases. But things are different now. By 2025, silver broke its 40-year-old record. Its price, like gold, is climbing fast. Looking at the past, gold has always been more reliable than silver. One big reason? Control over supply about 3,000 tons of gold gets mined every year.
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greg.bearMember
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#2Mar 23, 2023, 07:39 PM
I don't think Silver deceived anyone, the US government with its quest for control attacked silver and the prices crashed. Had the government not stopped the buying of silver, it would have been a competitor with gold and the fact that it was controlled by the people and not the government saw it attacked and its progress stalled. Gold soars because it has the backing of the government and is controlled by them. You can see how the government continually fights bitcoin because it has no direct control over it. Gold price is not stable at all, it is still volatile, although it has lesser volatility.
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sam.bullSenior Member
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#3Mar 24, 2023, 12:42 AM
I came across this and was like WTF!!!! If nobody can buy silver anymore then who's buying when they start selling    This is not true the price fell as a result of margin calls As a result of a new silver rule (can't really recall it) Silver Thursday Black Friday was the stock crash in the 90's They can't deceive people Their value is determined by the forces of demand and supply. 2008 financial crisis is fell hard and it wasn't the worse in history. They do because Silver isn't just considered a safe haven But also industrial material Would boon during economic growth and crash during a recession.
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sat_2018Senior Member
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#4Mar 24, 2023, 01:34 AM
The point to note is leverage was used by the Hunt brothers and that places them in a centralized position controlled by government.   Similar happened at the start of 2026 to a lesser degree but still paper leverage falls all the way back to the central banks and governance on your actions is a given.    Hunt brothers got a little bit over ambitious and wanted to monetize the metal with some alliance with the middle east I believe who were also concerned at the loss of value in the dollar post Nixon shock.   Also lots of small holders sold their silver just as they will do so now, most obvious reason being people are poor and need the money to pay bills. The genuine supply and demand market and pricing comes from actual usage of the metal, silver is industrial so you have to be more careful then gold.  Gold has its uses but the majority of gold is held as backing in national banks and that's unlikely to ever change.   We did see gold become unpopular for a decade or more, its a long time to a person but a brief period in historic view.  Silver is more erratic but it has been too cheap for so long, people now think the current price could be over priced when its still mostly about weak dollar imo.  We'll keep seeing weak dollar and I still reckon commodities are bullish a decade or more from now including metals
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tony2017Full Member
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#5Mar 24, 2023, 07:42 AM
You have presented the topic very well. Everyone knows that silver performs well during periods of economic growth; however, comparing silver with gold is unreasonable.
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#6Mar 24, 2023, 09:00 AM
Well, they won’t move at the same pace and that’s actually a good thing. Gold will continue to act as a safe haven. It moves steadily, protects wealth during inflation and crises, and is driven by central bank buying and long-term trust. Expect stability over speed. Silver is now both a monetary metal and an industrial metal. Its price will be more volatile, with sharper rallies and corrections, because it’s tied to technology, energy transition, and economic cycles. Expect higher upside but higher risk. Gold is for preservation, silver is for opportunity. They’ll rise together during uncertainty but silver will sprint while gold walks, and their paths will diverge when markets stabilize.
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#7Mar 24, 2023, 11:28 AM
It's hard to say for sure, but limited supply assets will undoubtedly continue to gain value against fiat currencies. Beyond that, even gold and silver will always experience bubble periods. This will sometimes happen because mainstream media creates war rhetoric through propaganda, driving people into fear and panic, or because inflationary pressure on fiat currencies pushes smart money into gold and silver. So, sometimes it will be for rational reasons, sometimes for speculation, but gold and silver will always remain the safest haven in the long run, as they have for 5,000 years. I cannot make a very sharp distinction between the two... Gold is currently showing very strong price performance due to central bank buying pressure, but let us not forget that a few centuries ago, when central banks and paper money were not so widespread, the ratio of gold to silver was much closer...
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nova_2019Senior Member
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#8Mar 24, 2023, 02:20 PM
I see a lot of hype around silver on Youtube. One Youtuber called silver "the most undervalued asset of our lifetime". Maybe he's right, or maybe he is speculating. I don't want to take financial advice from Youtubers and TikTokers. It's great that gold and silver are facing growing demand, coming from various high tech industries. I do believe that the gold prices will keep growing for a while, but I'm not sure about silver. Maybe silver will follow gold, or maybe it will go sideways. The AI bubble bursting is what will determine the future price movements of the precious metals.
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the_kingHero Member
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#9Mar 24, 2023, 06:17 PM
In my assessment, currently with economic uncertainty, inflation is occurring in almost all countries, it could be said that the global economic wave is collapsing and also stock market volatility uncertain of course Gold and silver for the future in my view historically Gold and silver have become "safe haven" assets. Of course, it is not without reason that gold and silver can be considered safe assets, as is currently happening, gold and silver are actually protective and tend to survive when high inflation occurs, Basically, the facts that have occurred in the recent period, for example what is happening now in Iran with a destroyed economy, are that paper money no longer has the value it should, but gold and silver have become their savior in the current inflationary phenomenon.
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HyperGweiSenior Member
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#10Mar 24, 2023, 09:16 PM
Not only on YouTube, but across social media, there is a lot of exaggerated information about silver or claims that silver is undervalued being spread. Even that is happening on our forum. But the interesting thing many people are overlooking is that when the price of silver was around $25-30, 10-12 months ago, almost no one paid attention to or mentioned it. Silver is not like gold, it is not a safe haven. Much of the demand for silver come from industrial sector and is being hyped by speculation. Even if the AI ​​bubble does not burst, silver could still be dumped at any time. This has happened with silver a few times in the past. Hopefully everyone knows what they're doing with silver at this point. Source pic: reddit
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t0ny_gangFull Member
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#11Mar 24, 2023, 09:53 PM
But there is nothing to invest in silver besides of gold. But most important is invest in Bitcoin Gold is already expensive, silver can be another option for those who want to have investment. They are free to decides whether to invest in gold, silver or even Bitcoin. The thing that they must pay attention is only invests with the amount you can afford.
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tony69Senior Member
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#12Mar 25, 2023, 02:43 AM
To be frank, it was me I wouldn't have told anyone to invest in any them except for Bitcoin, and of course, bitcon grows more faster and quickly than any other assets out there. The major thing is that they should be investing at the right time as whatever investment they does at the wrong time could either lead to big loses and they should be targeting long time projection.
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jake.chainSenior Member
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#13Mar 25, 2023, 07:24 AM
Good story to tell and one that contains a lot of lessons. Firstly, this story tells us how our wealth should be distributed to more than just one asset. The brothers put almost all their wealth into silver trying to protect it but ended up losing all of it as it crashed. Second, it crashed because the federal intervened. Which can be avoided if we trade in crypto markets. They have no direct control to bitcoin for everyone to stop buying or selling. Though the government can have some kind of control over exchanges, but what happened with the silver black thursday can’t be exactly repeated with crypto markets.
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johnkingSenior Member
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#14Mar 25, 2023, 12:21 PM
With the EU softening its 2035 car emissions ban, the demand for silver, which is used for EV batteries, might reduce. Nevertheless, silver has high potential since it is used for diverse industrial activities. Both gold and silver will keep increasing but silver might outperform gold due to its high use. Gold still remains a better hedge against inflation because the silver price could easily be affected by global economic conditions.
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#15Mar 27, 2023, 10:26 AM
There is no direct effect, but if there will be big news such as banning crypto in countries, such news could also have a big impact on the price, even in the crypto market. Actually, this has happened several times in crypto that's why we have a bull and bear market going on, and it gets worse every time there is good and bad news about it. So, even now, it can still happen, especially if there are countries involved in the issue that will worsen the situation and affect the market price.
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vault_2009Full Member
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#16Mar 29, 2023, 07:23 PM
This type of thing happens everywhere, not just silver. Normally in bitcoin this is what bothers me too, when we are in a bear market everyone keeps on selling instead of buying when it's cheap, so they can profit easier. But then price goes up and everyone starts to buy and try to make money while it's going up. That's a wrong mistake and nobody should invest like that. The reality is that if you want to make money then you have to invest when things are going terrible and then sell when things are going great. Like Buffet says, sell when people are greedy, buy when they are fearing. If you do that then you are going to make profit, but buying when it already peaked makes no sense at all for anyone and should be something to stay away from.
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alex.shardLegendary
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#17Mar 30, 2023, 12:37 AM
Well, even if we think that the AI bubble will burst, the demand for Silver isn't going to go down. The reason is that Silver is not only used in GPUs and other computing applications, but is also in demand as a major component in electric cars. As we know that in 2030 and beyond, most of the vehicles will be electric and i don't see a reason why Silver will go down anytime soon. Also, it is used in Solar panels and many modern-day gadgets. I think no matter how much hype, buying Silver under 100$ is still a low price. Isn't?
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HyperGweiSenior Member
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#18Mar 30, 2023, 04:54 AM
I agree with what you said, most people are doing the opposite: buying high and selling low instead of buying low and selling high But I would like to add that the cycles of silver and bitcoin are not the same. If we buy Bitcoin when the price is at its peak, it will take only about 3-4 year to recoup our investment and potentially make a profit. But it is different with silver, its cycle is very long and can last a decade or more. Therefore, for anyone unfortunate enough to buy silver at its peak, cutting losses is inevitable. Silver peaked at $40 in 1980 and did not return to that level until 2011. Similarly, it was not until 2025 that silver recovered and doubled in price. Anyone who studies the history of silver knows this, and it is not a safe investment like gold or bitcoin
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jake_gweiSenior Member
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#19Mar 30, 2023, 10:11 AM
I suppose silver thursday happen because the government want to stop monopoly of silver. Right now the distribution of silver isn't centralized to one entity like before, therefore I doubt something like that will happen again. I'd expect silver to rise alongside gold as an alternative to gold. Recently there has been surge of interest and we all know when people got interested in something like silver or any store of value, the hype will last pretty long.
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t0ny_gangFull Member
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#20Mar 31, 2023, 09:10 AM
Bitcoin is the main investment for me but don't know how about the people. I use gold and silver as additional investment besides Bitcoin as the main investment. Those who wants to starts the investment must learning first before decides so they don't make a mistake. People can starts Bitcoin investment anytime but they need to search for the right time to start. Yeah, you say with the right. While Silver price is not too high compare to gold, we have that opportunity so we can have more investments besides Bitcoin. And reminding that Silver  is use for many things, that will not make the price is decrease so there is a chance for the price to increase high. We needs to take a look for more opportunities so we can maximizing our profits in the future. If Silver can increases up to $100, that will be additional profits for us.
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