(Kitco News) - Despite already impressive gains year-to-date, gold is in the early stages of a powerful secular bull market that could see prices rise to $4,500 and silver break $100, according to Jordan Roy-Byrne, CMT, MFTA, and author of Gold & Silver: The Greatest Bull Market Has Begun.
“The breakout in March 2024 from a 13-year cup-and-handle pattern is a major technical confirmation,” Roy-Byrne told Kitco News. “And now we’re seeing macro alignment” with rising Treasury yields, a secular bear market in bonds, and a breakdown in credit quality.
Moody’s stripped the U.S. of its last remaining AAA rating last week, while JPMorgan CEO Jamie Dimon warned that today’s credit market is a “bad risk,” citing inflation, stagflation, and geopolitical shocks as being grossly underestimated by investors.
According to Roy-Byrne, similar macro and technical conditions preceded past gold bull markets in 1930, 1972, and 2002. He noted that gold has already broken out against the S&P 500 and the 60/40 portfolio, while the inflation-adjusted gold price just broke out of a 45-year base.
He sees $3,700 by year-end as realistic and notes, “The average of past major breakouts points to $4,400–$4,500 within 12 months.”
Silver remains the laggard, but Roy-Byrne sees $35 and $37 as key breakout levels. “Once silver clears $50, it could surge to $100 within 12 to 15 months,” he said, citing a 45-year base in the metal.
Roy-Byrne also sees opportunity in gold miners, which he believes are undervalued and under-owned. “We’re in a sweet spot – fundamentally, miners are making money, but valuations are still low,” he said. “This setup could see miners significantly outperform the metal.”
He cautions investors to be disciplined: “Focus more on the companies than the macro noise. Have an exit plan. And don’t be afraid to take some profits along the way.”
Could now be the final window to buy before gold’s next leg up? Watch the full interview above for insights!
