On January 23, silver has recently demonstrated an unstoppable surge, decisively establishing a new all-time high above $95 per ounce. OEXN indicated that after an epic rebound of nearly 150% in 2025, silver has skyrocketed another 31% in just the first month of 2026. While this astonishing performance originates from a "perfect storm" of soaring investment demand and shrinking physical supply, OEXN believes the current market is showing clear signs of overheating, with analyst sentiment shifting from cautious optimism to high alert.

At the macro level, although geopolitical uncertainties and concerns over currency depreciation continue to support hard assets, the driving force behind this silver price frenzy is gradually shifting from fundamentals to speculative mania fueled by "Fear Of Missing Out" (FOMO). OEXN suggests that while inflationary pressures remain elevated, there are no signs of further loss of control, and the trend of the U.S. dollar stabilizing at low levels could diminish some of silver's appeal as a hedge. Furthermore, rumors about liquidity tightening due to changes in export policies have been confirmed as misinterpretations; the current export licensing system is largely a continuation of previous years' policies and has not undergone any substantive tightening.

Regarding potential impacts on industrial demand, OEXN stated that excessively high prices often trigger self-correcting mechanisms. Currently, global leaders in the photovoltaic industry, such as Longi and Jinko Solar, have announced plans to seek alternatives, intending to use base metals in solar cells to reduce costs. This industry trend of "seeking solutions due to high prices" could lead to a contraction in silver's industrial consumption in the future. OEXN believes the deviation of the silver price from its 200-day moving average has entered an extreme overbought territory, which historically often precedes a significant price correction.

Based on the aforementioned risk considerations, the probability of a short-term correction in the silver market is rising significantly, and investors should avoid blindly chasing the rally at these elevated levels. In contrast, gold is demonstrating a more attractive risk-reward profile. OEXN stated that as the gold-silver ratio shows signs of rebounding from multi-year lows, gold's value as a safe-haven asset is more solid, being the preferred choice for global central banks diversifying their reserves. In the volatile financial environment of 2026, OEXN will closely monitor uncertainties surrounding tariff policies and changes in liquidity within physical markets, assisting investors in smoothly rotating their assets from extremely overbought commodities towards higher-quality, more defensive safe-haven assets.