Recently spent a lot of time studying Wall Street's views on the silver market, and the more I look, the more interesting it becomes.

On the surface, these institutional analysts are discussing supply chains, inventories, and London vault reserve data, but if you look closely, you'll see the underlying logic — they are hinting that the dollar system may be facing problems.

After the Federal Reserve started a rate-cutting cycle, funds that previously relied on interest income began to find nowhere to go. These funds, like they’ve lost their minds, are searching for an exit everywhere. Silver, as an asset class long neglected, suddenly entered the institutional radar.

Why is this shift so critical? Because silver's disadvantages are turning into advantages. It lacks central bank backing, and without tight control by institutional whales, its price fluctuations seem large, but precisely because of that, its price more honestly reflects true supply and demand and market risk sentiment.

The continuous increase in silver ETF holdings sends a clear signal — smart money is retreating from various paper assets and moving into tangible hard assets they can touch and see. And don’t forget, silver is not just a safe haven; it’s an essential production factor in industries like photovoltaics and AI chip manufacturing.

The dual value of "industrial demand + safe haven attributes" makes it the perfect hedging combination in 2026, a year of chaotic macro environments.

That $120 target price sounds bold, but the logic actually holds up. When traditional assets are all blowing bubbles and commodities are still stuck on the floor, capital flows follow natural laws that cannot be resisted.

Goldman Sachs’s outlook on silver is ultimately not just about calling a specific commodity, but about warning everyone holding paper money. In this era, owning real physical assets might be the last thing we can rely on to fight against uncertainty.