Silver Correction Resets Market, Paving Way for Sustainable Rally to $70 – WisdomTree's Nitesh Shah

Nitesh Shah, Head of Commodities and Macroeconomic Research at WisdomTree, argues that silver’s sharp correction from January’s record highs has reset the market and laid the groundwork for a more sustainable advance. He forecasts silver reaching $70 an ounce by the second quarter of 2027, driven primarily by stronger gold prices and improving fundamentals rather than speculation.

Shah stated: “Silver’s exuberance in January 2026 is now clearly in the rear-view mirror.” The metal has held above $50 and last traded at $59.72. He noted that silver typically follows gold with a high beta, and its smaller market plus heavy retail participation make it prone to volatility.

Lower prices ease pressure on industrial users, particularly in solar, helping avoid demand destruction that prices above $120 would accelerate. WisdomTree expects gold to climb above $4,560 within the next 12 months, providing the main catalyst for silver, even as manufacturers still face costs 60% higher than a year ago despite an 18% year-to-date decline.