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https://i-invdn-com.investing.com/news/LYNXNPEB6U08A_M.jpg
(Source: TradingView.com)
If we look at the chart above, we can see that the 1980-2005 period was a lost quarter-century for silver bulls, with the price spending a decade in a bear market before spending nearly 15 years going sideways. This complete reset in the market following the parabolic bull market that ended in 1980 created the conditions for a massive bull market from 2005-2011, with the silver price soaring by more than 500%, from $7.00/oz to above $40.00/oz. Since the parabolic 2011 peak, we’ve seen a similar setup, albeit on a shorter time frame, with silver spending 2012-2016 in a bear market, 2016-2019 going sideways, and the metal finally breaking out of its range in 2020. Since then, we’ve seen very volatile trading with little upside progress since the July 2020 breakout, causing many investors to throw in the towel on the trade. However, on closer inspection, silver did this exact same thing nearly twenty years ago, breaking out in 2004 before spending nearly two years going nowhere in a volatile sideways range. The key, however, was that the metal was holding above its breakout level, confirming that the breakout was still valid.
