When it comes to predicting the future value of silver, there are a few key assumptions to consider. First, the price of silver is closely linked to the price of gold. The more ounces of silver you can buy for an ounce of gold, the higher the price of gold relative to the price of silver. A second factor is that half of all silver extracted is used for industrial purposes, rather than for jewelry or investments.
This means that commodity silver prices are a pressing issue in many industries. Finally, there is the legacy of speculation, a hangover from the period between 1933 and 1974 when U. S. citizens were banned from holding investment gold and, therefore, were playing in the silver market.
So, how much will an ounce of silver be worth in 10 years? While this method of predicting the price doesn't give us any specific deadline, it does support the idea that the price of silver will be measured in hundreds of dollars per ounce over the next 10 years (the duration of a secular bull market). Overall, the outlook is good, but the biggest threat would be widespread disaffection with ingots as an investment, leading to gold dragging its “little sister” down.
