Silver Struggles Below $85 After Sharp Drop From $96.5

⬤ Silver is attempting a modest rebound after a steep sell-off that dragged the metal from $96.5 all the way down to the $80.4 area. The latest hourly chart shows price reacting near $84.4 following the sharp decline. The short-term outlook remains fragile as long as price holds below the critical $85.0 resistance zone. The current structure points to a corrective bounce within a broader bearish momentum phase rather than a genuine Silver Price Momentum Pauses After Multi-Year Surge reversal.

⬤ Technical indicators reinforce the cautious read on XAG/USD. The RSI sits near 48, reflecting neutral momentum rather than a clear bullish reversal. Volume spiked during the decline, confirming strong selling pressure, while the Volume Delta remains negative, meaning sellers still dominate order flow. The Volume Profile places the Point of Control around $87.3, putting the current price well below market equilibrium.

⬤ Additional signals reinforce the weak short-term picture. Price is hugging the middle-to-lower Bollinger Band range, limiting upside potential, while the Parabolic SAR remains above the current price, confirming ongoing downside pressure. Immediate support sits at $84.4, with deeper levels at $83.0, $81.0, and the recent low near $80.4. On the upside, resistance clusters at $85.0, then $87.2, $88.8, and $92.5. As shown in Silver Holds Strong Above $80 Support, Eyes $92 and $102 Targets, the $80 zone has historically acted as a pivotal floor.

⬤ Fundamentally, silver sits at the crossroads of safe-haven demand and industrial sensitivity. Geopolitical tensions can lift precious metals, but a stronger US dollar and fears over global growth tend to weigh on XAG/USD. Unlike gold, silver's significant industrial use makes it more exposed to shifts in economic expectations. Silver tends to stabilize near key support after sharp drops before committing to a directional move, a pattern explored in Silver Struggles Near $77.90 Support as Bears Keep Control. Until $85 is decisively cleared, bears retain the upper hand.