The volatility looks dramatic, but it does not automatically signal the end of the bull market.
What we are likely seeing is a classic late-stage correction within a strong trend, triggered by thin liquidity, margin calls, and cross-asset stress. When metals rise too far, too fast, they become a source of liquidity. Investors sell what is up to fund what is breaking elsewhere. A firmer dollar and crowded positioning simply accelerated the move.
Can momentum rebuild quickly?
Yes, but not in a straight line. If gold can stabilise above the prior breakout zone around the low-$5,000s and volatility compresses, upside momentum can return. Silver will remain more volatile and usually lags first on the rebound due to its higher speculative component.
Sell or add?
Into panic selling, I would not chase exits. For long-term holders, this looks more like a trimming or hedging zone rather than a full liquidation. For those underweight, staggered adds make sense only after volatility cools and price bases. Catching falling knives in one-minute bars is not a strategy.
Is the bull still here?
Structurally, yes. Central bank demand, geopolitical risk, and long-term currency debasement have not changed in a week. What has changed is positioning. Bulls needed to be shaken out. That process is uncomfortable, but it is often how secular uptrends reset before the next leg.
In short, this looks like a violent reset, not a thesis break. The next few sessions are about stabilisation, not hero trades.
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