The speed of TradFi: Silver 84 drops to 78, taking only one day

A new week, and the TradFi market has just given the chasing high players a lesson.

Spot silver just broke through $84/ounce, hitting a new all-time high, only to be “precisely harvested” by profit-taking, quickly plunging, and finally oscillating around $78.

白银价格还会涨吗

A classic example of “Chasing High Means Standing Still” market behavior.

What’s more interesting is that this isn’t just silver’s show. Gold retreated from its near $4550 all-time high, platinum and palladium dropped nearly or even over 7% in a single day, and the entire precious metals sector cooled off collectively.

The moment you chase silver high, TradFi is already settling the bill

This wave of silver movement perfectly demonstrates an old rule in the TradFi market: When everyone starts discussing “how much higher it can go,” a correction is often not far behind.

The $84 level itself is stacked with historical highs, emotional peaks, and crowded short-term funds.

As a result, before the bulls even get to celebrate, the price has already started a “free fall.”

If you hold USDT, what will happen?

Interestingly, for many crypto users, this kind of TradFi market isn’t just “spectating,” but a typical hedging or contrarian opportunity.

Suppose, at the peak of silver’s rally and emotional frenzy, you participate in shorting with USDT: From $84 down to $78, a unilateral retracement of about 7%.

In the world of TradFi derivatives, such volatility is enough for the correct directional trader to earn a pretty decent profit.

Of course, the only premise is: You’re not the one shouting “Silver is taking off” at $84.

A lesson from TradFi for crypto users

This precious metals market movement is actually very instructive for the crypto market:

When sentiment peaks, risks are often greatest. All-time highs do not mean safety zones. Trend assets can give you a “deep squat” at any time.

For crypto users, understanding the rhythm of TradFi isn’t about switching careers, but about better understanding when capital gets excited and when it pulls back.

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Last edited on 2025-12-30 11:38:08
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