Silver reached a level of 63 dollars per ounce today, marking an all-time high for the precious metal. In contrast, the cryptocurrency market fell by 2.74% in the last 24 hours, with all of the top 20 coins, excluding stablecoins, in the red.
This sharp performance divergence indicates a change in capital flows. Typically, such movements are seen as a classic signal of risk aversion. However, some analysts claim it indicates the exact opposite.
Why Are Silver Prices Rising?
Silver continued its upward trend today, breaking a new record in the Asian session and reaching another significant milestone. According to Companies Market Cap data, silver ranks sixth among global assets with a market value of $3.5 trillion.
According to the latest comments from The Kobeissi Letter, this metal is moving toward its strongest performance since 1979 over the last 12 months.
The post included the following statements: 'The current rise in silver prices renders 2020 and 2008 almost insignificant. A new era of monetary policy is coming.'
As the rise accelerates, people are once again gravitating toward safe-haven assets. So why is demand for silver increasing? According to trader Michael, this rise is not only about demand; it almost signals a 'desperation'.
Michael emphasized that physically silver-backed ETFs have received inflows of over 15.3 million ounces in just four days. This indicates the second largest weekly inflow of 2025.
Moreover, Michael emphasized that this figure is very close to the total of 15.7 million ounces added throughout November.
He added the following: 'Silver ETFs are currently on track for their 10th consecutive monthly inflow, which is only seen during periods of systemic stress.'
It has been reported that the world's largest silver ETF, SLV, has seen approximately $1 billion in weekly inflows and has outperformed major gold funds. According to Michael, the rapid rise in silver is not solely due to individual investor interest or inflation fears; there are much deeper dynamics at play. Michael stated:
The global monetary system is quietly, rapidly, and internally collapsing. Silver is the only asset at the heart of two major crises: 1. The search for tangible assets at a point where government debts have reached dangerous levels. 2. An uninterrupted industrial supply gap built around artificial intelligence infrastructure, solar energy growth, electric vehicles, and semiconductor demand.
According to the trader, when financial uncertainty combines with physical scarcity, the price of silver not only rises but 'explodes'; this indicates a much deeper breakdown rather than a classic market rally.
Bitcoin vs Silver: The Performance Gap Opens in 2025
On the other hand, the weak performance in the cryptocurrency market creates a sharp contrast to the strong rise in silver. BeInCrypto Markets data shows that the largest cryptocurrency has lost more than 2% in value in the last 24 hours, continuing the broader downtrend.
Analyst Maartun indicates that in 2025, silver will stand out, even surpassing gold. The leading cryptocurrency is lagging behind these precious metals and even the S&P 500 and Nasdaq indices.
Economist Peter Schiff stated: 'In the last four years, Bitcoin has suffered a heavy blow against silver. It has lost more than half of its value in terms of silver.'
This table shows that the sentiment of fleeing from risk is increasing. When uncertainty rises, investors generally tend to move towards traditional safe havens. For centuries, silver and gold have been prominent in this regard.
However, some analysts view the rally in silver not as a search for a safe haven but as a sign that investors are ready to take risks. Crypto analyst Ran Neuner advocates this contrarian view, believing that market conditions now support risky assets. This assessment challenges the classic bullish interpretations of precious metals.
'The market has now COMPLETELY shifted to a high-risk appetite mode; most people don't realize this because Bitcoin isn't moving! Silver is at an all-time high. It is breaking out and rising rapidly. Silver is the Beta gold and signals Risk-On!' he emphasized.
Neuner also pointed out that the ETH/BTC ratio has surpassed its 50-week simple moving average. This movement indicates a renewed interest in cryptocurrencies. Additionally, he cites the upward breakout in the Russell 2000 index and the Federal Reserve's recent policy change as proof of an environment of increased overall risk appetite.
Neuner stated, 'Soon the sellers in BTC will run out, and a major upward movement will begin. All data points in one direction!'
Other analysts also expect a resurgence in demand for Bitcoin. If investors return strongly to the market, this scenario is highly likely to unfold. However, how market trends continue will also be decisive.
