Constantly reading future gold and silver price predictions,forums and opinions by presious metal experts, one thing always seems to be overlooked.People power. Without the sheer force of large numbers of people jumping into buying of metals, prices will just plod along. Buying metals need to become trendy. History has shown this with many hyped up 'must have it now', buy at all cost crazes. Remember cabbage patch dolls, tamagotchi, marbles at school, postage stamps in the 1980's, trading cards, tazo's, Pokemon go, the list goes on forever back to the Dutch tulips. Gold and silver just need a trigger, a start ,needs to go viral. Then hang on fellow stackers we will meet for lattes on Sunday mornings in our Lamborghinis. So don't worry about the ups and downs. Stack what you can afford, live life and get ready for the ride.
Funny, I just found a tazo on the weekend while cleaning the misses car. Threw it straight in the bin and then thought hang on a second, weren't they worth something? So put it to the side! Don't know where the hell she go it from... If only next its a double mirror ram or a vintage engelhard 1 oz'er!!
The problem is PM isn't catching on as it is old news, though it isn't for lack of trying from the pumpers. Also a problem with a craze is that it ends.
It's exciting really. I guess everything has a tipping point - from object based crazes to theories and ideas, and its not always waiting for it to reach >50% I like to think the idea of people in possession of physical gold and silver to be viewable in the framework of "the law of diffusion of innovation" - (https://en.wikipedia.org/wiki/Diffusion_of_innovations). Some of us have been at it from the "innovators" phase, others like myself, have more likely come onboard more in the "early adopters phase". Soon, perhaps in the 2-5 years, I don't think its too farfetched to think we'd be hitting the "early majority". I mean, its amazing to see the amount of new members just on this forum alone, almost everyday. I'd like to hear thoughts? Perhaps my theory lends to much credit to people being capable of objectively viewing themselves within their surrounding constructs, and then making change against the perceived flow of the majority.... we could be on the fringe forever, watching these 2 metals travel sideways....
This has been obvious since my early stacker days and I've been arguing it for a while now. Supply and demand are the main drivers of the value of any commodity or practically anything that has a price tag. Since there seems to be no slowing down on the supply side, that means that the demand will have to increase in order for the value to not fall. Demand can increase in more than one way but I think that brand new investors and stackers are a critical component to a healthy demand since technological advances can replace silver for industrial use to some degree and the numbers of current investors and stackers are constantly being diminished due to factors such as death, switching investment vehicles, lost faith in precious metals, lack of funds, etc, etc, etc. .
I agree but there is certainly a fall in supply, both current and future. Mining production is falling and the lack of exploration (cut backs due to falling metal prices) over the past 5 years will see further falls in production over the next 5-10 years. These predictions are now mainstream with even the vampire squid predicting 10-20% production falls in gold and silver over the next few years.
