Silver Price Forecast: Buyers Struggle Below 100-Day SMA

Silver (XAG/USD) faced notable selling pressure on Wednesday as the US dollar strengthened following the latest US inflation data, with prices struggling below the 100-day Simple Moving Average (SMA). At press time, spot silver was trading near $68.09, down about 1.26% on the day, with the short-term technical bias turning bearish.

**US Dollar Strength Dominates Short-Term Direction**

The latest US inflation data reinforced market expectations that the Federal Reserve will maintain high interest rates, pushing the US dollar index higher and exerting direct pressure on dollar-denominated silver. The daily chart shows silver prices currently trading below the 50-day and 200-day SMAs. While the MACD indicator remains in negative territory, the histogram suggests bearish momentum is waning. The Relative Strength Index (RSI) sits near 46, hinting at a possible upward correction before the downtrend resumes. Market signals indicate that silver prices have been trending lower after hitting prior highs, with a short-term pullback possible near key support levels.

**Institutions Sharply Divided on Longer-Term Outlook**

Despite short-term pressure, multiple analytical institutions hold vastly different views on silver's medium-to-long-term prospects. LiteFinance, based on technical analysis, projects silver prices to trade within a range of $35.08 to $65.56 in 2026. LongForecast's model suggests average prices could reach $100 by mid-2026, before retreating to $97.47 by year-end. WalletInvestor is relatively optimistic, expecting prices to recover to $62.14 by the end of 2026. Looking ahead to 2027, institutional forecasts diverge further, ranging from as low as $15.71 to as high as $94.19, reflecting sharply contrasting interpretations of key variables such as global industrial demand, the Fed's monetary policy path, and safe-haven sentiment.

**Long-Term Narrative Remains Positive**

Over a longer horizon, most analysts still expect silver's long-term trend to strengthen. CoinPriceForecast projects silver prices could reach $189.16 by the end of 2031 and climb to $330.96 by the end of 2037. The core logic supporting this optimistic outlook lies in the potential boost to industrial silver demand from the green energy transition, alongside possible supply bottlenecks on the global production side. However, investors should note that any price forecast for the distant future carries extremely high uncertainty, and short-term trading decisions should rely more on real-time technical signals and macroeconomic data changes.