FXStreet Data Shows Silver Price (XAG/USD) Rises on Monday, Trading at $30.81 per Ounce

**Lead:** Silver spot (XAG/USD) is currently trading near $62.83 per ounce, with earlier FXStreet data showing the silver price had fallen to $63.22, down 2.14% from last Friday's $64.60.

**Short-Term Volatility Intensifies, Technical Indicators Hit Extreme Levels**

The silver market has recently experienced sharp fluctuations. According to FactSet data, as of last Friday, March silver futures prices have recorded their seventh single-day move of 4% or more since 2026. This sustained turbulence has pushed the 30-day realized volatility to one of the highest levels on record. Meanwhile, the deviation of futures prices from key moving averages has also reached historical extremes. Reports indicate that earlier last week, silver futures prices traded as much as 46.7% above the 50-day moving average, the first time since April 1987; their premium above the 200-day moving average also reached 105.9%, a level not seen since 1980 when the Hunt brothers attempted to corner the silver market.

**Physical Demand Surges, Market Structure Shows Backwardation**

Strong demand for physical silver has led to an imbalance in market structure. Market sources indicate that as of last Friday, spot silver prices traded in London were slightly higher than prices of expiring futures contracts, reflecting a "backwardation" pattern. This underscores urgent demand for physical metal from industrial users, governments, and central banks. RJO Futures Senior Market Strategist Haberkorn noted that unlike previous rallies driven by speculators, this cycle is primarily fueled by governments, central banks, large sovereign wealth funds, and industrial enterprises that actually use silver. As a critical material for solar panels, electric vehicles, and electronics, silver has seen surging demand, while global supply conditions grow increasingly tight. Combined with its inclusion on the U.S. critical minerals list in 2025, these factors form a "perfect storm" driving prices higher.

**Institutional Forecasts and Market Outlook**

Despite recent price pullbacks, some institutions remain optimistic about silver's medium-term trajectory. According to Trading Economics global macro models and analyst expectations, silver is projected to trade at $64.96 per ounce by the end of this quarter and reach $79.28 per ounce within 12 months. However, the current high volatility also implies coexisting risks, and investors should closely monitor changes in supply and demand fundamentals.