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New Year's Day - 2021
Well, here it is… A BRAND NEW YEAR. Things are definitely going to be different, and that should truly be the case for Silver. Many things happened and changed to make it a whole new ball game in 2021.
There has been more and more talk about “The Great Reset” these past few months. It looks like that this has been the plan for decades. However, even though much is happening to change our economic/currency system, it apparently is not quite playing out exactly as the instigators have intended.
It is valuable to understand what the intent of “The Great Reset” is to grasp what has happened with Silver and its role in the process. The first 25 minutes of this video would be helpful if you have no clue on what the objective and process is.
Video: I Love Prosperity - The Currency Reset Has Begun | Gold/Silver (Lynette Zang, Chief Market Analyst) (First 25:00)
Well, 2020 was intended to be Year “Zero” for this big reset. A lot of changes that affect the future of our economy happened. And that leads us to 2021 being “Year #1” and what we might expect,realizing that what happens with Silver is intimately tied into the other aspects of our economy in a complex way.
There is plenty of evidence that Silver, more so than any other metal, has been suppressed in price for decades. Two questions: “How high should its true value be?” and “How fast will it get there?” For question #1, there is a debate on how valuable it should be right now, but it should be at least triple digits, quite possibly four! There are several videos posted below that support these estimations.
The second question refers to the speed that we get there. Some people think that it could happen almost instantaneously. That may have been the initial plan of the “Great Reset Villains” but their plans may have been deflected to a different route and timeline. Others feel that it will take a few years… I am in this camp.
The price action of Silver in 2021 will most likely be dictated by the following three “Shortages” –
#1) Shortage of Silver (this one did happen)
2020 will sport the largest shortage in the past decade by far – by a factor of 5! It will be well over 300 million ounces.
Video: Silver Doctors - Physical Silver Shortage For 2020 Could Be 318.5 Million Ozs? (Chris Marcus) (21:00-22:45)
The final numbers are not in yet, but this is monumental. Why such a large deficit? The silver mines were shut down for a while due to the pandemic, but this was only a small factor. The physical investor demand increase was up a bit, but that was neutralized by the small lack of industrial demand. The big factor was 350 million ounces poured into ETP Investments (Exchange-traded Products like SLV). The word on the street was that these ETP’s have been fudging their numbers and did not have enough physical product to back up their claimed value. Thus the ETP managers were mandated to “beef up” their inventory in order to avoid major consequences! Supposedly they needed to do so by the end of 2020. When the shortage gets more publicized, the demand should help drive the price up… but contingent upon the next point below.
#2) Shortage of “Silver Shorting Villain” (this one is happening now?)
The big bad banks have been responsible for the suppression of the price of Silver for years. They have been playing with fire, and some of them may get third degree burns as a result. There have been a handful of major banks that have been “Shorting” the silver market to keep the price abnormally low (so they can stock up on the physical metal at this incredible bargain price). J. P. Morgan has been the ring leader in this operation. They have been fined Billions in recent years, and the word on the street is that they need to cease and desist by the end of 2020 to avoid serious prosecution and jail time. Imagine that these few banks are a defensive football line, each at 6’ 9” and weighing 325 and can run the 40 in 4.45. This defensive line of big bad boys had been keeping Silver near Silver's own 5 yard line for years and years. They let it get to the 50 yard line twice, once in 1980 then again in 2011 but proceeded to push it back to Silver’s own 10 yard line.
Video: RoadtoRoota - ALERT! Silver...The End of a CRAZY YEAR!! (Bix Weir) (6:30-12:45)
Other banks such as Scotia Bank, BOA, City Group and Goldman Sachs have in essence started to head into retirement these past few months regarding their involvement in this rigged game. This will leave the “Silver Ball” ready to run free and “score a touchdown” – we will call the $100 price target this first touchdown. It is currently on the 26 and 1/2 yard line with about 3/4ths of the length of the field to go, but hopefully without any or all of the huge and fast defensive linemen in the way.
It has been obvious at times that there were forces pushing the price back down after upward surges. This needed to happen as these banks needed to “cover their short positions” at a lower price, and not lose their shorts. Shorting the market is dangerous and if the price escalated before covering their shorts then these banks would collapse.
In 2020, the collapse of the banks and $600 silver would have been two simultaneous events that are yoked together by the dastardly antics of the criminal banks. Either one of them would have caused the other. The collapse of the banks and the dollar system would have caused Silver to skyrocket. If Silver was allowed to skyrocket, then the banks would have collapsed because of their short positions! Hopefully the banks have stepped out of their short positions thus allowing them to stop manipulating the market and let Silver run free!
Again, these banks have been playing with fire, and those that have not cleared up their dangerous positions could get burned big time.
I am in the camp that the past few months have been a transition such that Silver can now start run free and methodically make controlled, yet impressive gains over the next few years to reach its true value without a total catastrophic collapse of the current monetary system. There have been lots of subtle signs that have gone unpublicized purporting that this is the case.
#3) Shortage (or demise) of the COMEX (this one has not happened yet)
The COMEX is the price management institution controlling various commodities, including precious metals. It is corrupt. Those in control of the COMEX are making Billions, if not Trillions. If this institution gets shut down (could be the result of more investigation of criminal activities) then Silver and Gold prices would be set free over night, but all other commodities would also be released from the COMEX control. This could create complete economic chaos as the price of commodities would be in limbo. This would probably shut down all other financial institutions as well such as the stock markets. Now that could get scary! If this happens, then it is “Game Over” for many of the financial games that have been being played for decades. Silver could double, triple or even 10x overnight. But the total economic picture would be disastrous!
Bill Murphy, Chairman of the Gold Anti-Trust Action Committee, is expecting $100 Silver if the corrupt influence from the COMEX is removed.
Video: As Good As Gold Australia - COMEX To Hit The Wall - US$100 Silver Explosion (23:00-27:30)
Although the abrupt shutdown of the COMEX would eventually set Silver free, the consequences would be catastrophic. Could 2021 provide a transition to another plausible platform of free market that will avoid the potential catastrophe?
So where are we going in 2021?
Here is where I will step out on a limb. My predictions may seem outlandish, but they are very modest compared to some of the Silver “bugs” out there.
So the mid-range technical charting aspect of the price of silver is very bullish for the next few months, hinting at a quick 50-60% run upward. Last spring I was expecting a big surge once Silver broke $20. The next few weeks afterwards we shot up to $29 and experienced multiple $2+ moves in a day. In July we experienced the “opening act.” When Silver breaks $30, we should see similar action. However, I think the “main attraction" will be on stage when we break $50.
I see Silver breaking $30 sometime in January, which should lead to a $45 price tag 3-4 weeks after it does. We will see how much resistance (the remnant of the big bad banks) keeps it from breaking $50 – it may take a month or two to do so when the upper $40’s are reached. After breaching $50, we should see some $4-5 daily swings upward, so hold on tight!
My December of 2021 target is $175. I think it is a 75% chance that we end up between $100 and $300 per ounce, with a 20% of it staying under $100. That leaves a 5% chance that we would see $300+ by the end of 2021.
Each round of stimulus checks will add to the inflation, thus theoretically increasing the price of Silver. If stimulus packages go berserk, then that promotes hyperinflation which could devalue the dollar by 80-90% or more and thus “forcing” Silver into four digit pricing. This will hopefully not be the mechanism to get Silver into quadruple digits. Hopefully the price tag on Silver will methodically and safely approach its true value over the next few years, and we can avoid calamities of hyper-inflation, banking failures or the shutdown of the COMEX to get us to that point. I think the wait will be worth it to avoid such calamities of getting there too quickly.
Remember, as our disclaimer says on the “HOME” tab, the data and opinions on this site are for informational purposes only.
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