Silver projected to be cheaper than gold by late 2026

Monarch PMS reports that silver may become more affordable than gold as 2026 approaches, citing a high gold-silver ratio as an indicator of silver's relative undervaluation. In a base case scenario with a 55% probability, gold is projected to trade between $4,300 and $4,700 per ounce, while silver is expected to reach $70-$85 per ounce by the end of 2026.

Beyond the valuation ratio, silver faces tightening physical market fundamentals. The firm anticipates a sixth consecutive annual silver deficit, noting that approximately 762 million ounces have been drawn from above-ground stocks since 2021 while mine supply has remained largely stagnant for a decade. Additionally, paper claims on COMEX are roughly 5.6 times the registered physical inventory, a factor that could amplify price volatility if physical demand increases.

Technical analysis of silver futures suggests potential for bullish recovery moves following corrective price structures. Traders are monitoring key liquidity zones and value-area migrations to confirm whether silver can reclaim higher value levels.