On the one-hour chart, silver initiated a clear upward wave from a low of 54.8, establishing successively higher lows—a characteristic of a strong primary rally. However, after hitting a new interim high, the price reversed sharply, retreating via consecutive large bearish candles; this marked the end of the short-term uptrend, shifting market control to the bears.
From a technical perspective, the 1-hour M5 and M20 moving averages have formed a “death cross,” with the price trading firmly below them in a bearish alignment. Notably, the current decline—driven largely by a surge in crude oil prices pushing up US Treasury yields—has seen virtually no meaningful rebounds, characterizing it as a rapid sell-off.
Furthermore, the initial rally was accompanied by sustained capital inflows, but volume contracted and buying interest dried up after the new high was reached; a subsequent wave of concentrated selling ensued. This pattern exemplifies a breakdown following a classic price-volume bearish divergence.
Summary: Bullish sentiment can only effectively recover if the silver price stabilizes above the $60 mark. Today, the strategy focuses on shorting silver, with particular attention to resistance in the 58.7–59.1 range. The short-term support zone lies between $57 and $57.5; this area previously served as a key resistance level during the major rally and now acts as a “flip” zone (where previous resistance turns into support).