Silver Price Drops After $110 Peak as Bearish Reversal Hits Key EMA

Silver's recent price action is flashing a decisive shift in momentum, with the metal failing to hold gains at a key technical level. As $Trader highlighted, silver has printed a bearish evening star formation directly at the 100-day EMA, reinforcing the idea that sellers are defending this zone hard. The rejection comes after a brief attempt to push higher, which makes the failure all the more telling.

Where the Breakdown Took Shape

The chart shows silver transitioning from a strong prior uptrend into a more fragile phase, marked by a series of lower highs. After peaking near $110 earlier in the move, price has been unable to reclaim that strength. Instead, a descending resistance line has formed, consistently capping any rally attempt.

The most recent rejection landed precisely at the 100 EMA near the mid-$70s region, aligning with a clearly visible supply zone. The prior session had already hinted at weakness, with a gravestone-style candle signaling that buyers couldn't sustain intraday gains. That hesitation has since evolved into a confirmed reversal pattern, suggesting the attempted recovery has run out of steam. Silver leans bearish below resistance with sellers in control, a dynamic now visible across multiple timeframes.

Momentum Confirms the Shift

Technical indicators are falling in line with the deteriorating structure:

• The RSI has dropped into the low 30s, reflecting weak momentum and a lack of meaningful buying pressure
• The MACD is expanding further into negative territory, showing that bearish momentum is accelerating rather than stabilizing
• Price is now trading below both the 50 and 100 EMAs, both of which are flipping into dynamic resistance
• The 200 EMA, sitting near the low $60s, becomes the next key structural reference if selling continues

This broader setup reflects a shift from accumulation toward distribution, where rallies are increasingly being sold into rather than bought.

A Failed Attempt That Changes Market Tone

What makes this move particularly important is the psychological shift it represents. Bulls had a clear opportunity to reclaim control at resistance but couldn't follow through. That kind of failure tends to trap buyers, who may look to exit positions as price slides, adding fresh fuel to downward pressure.

Silver is losing ground after a failed recovery attempt, with downside risk continuing to build. The current structure suggests that unless buyers manage to reclaim key moving averages, rallies will keep running into sellers. For now, silver tests key support as breakdown risk builds, and structure plus momentum are pointing in the same direction.

Silver is now in a phase where both structure and momentum are aligned bearish. Price action points toward continued weakness unless a meaningful reversal in trend develops.