Here’s Why Gold and Silver Prices Are Getting Wrecked Right Now

Gold and silver price are crashing hard right now. The past 30 hours have been brutal.

Last 30 Hours

• Gold: down -3.87%, wiping out $1.1 trillion
• Silver: down -9.18%, wiping out roughly $400 billion

Since the War Started

• Gold: down -25%, erasing $9.4 trillion
• Silver: down -38%, erasing $2.7 trillion

From All-Time Highs

• Gold: down -28%, $11 trillion wiped
• Silver: down -51%, $4.6 trillion wiped

This data was shared by X account “Bull Theory”. On June 24, spot gold fell 1% to $4,067.51 per ounce, hitting its lowest level since June 11. U.S. gold futures for August delivery declined 1.6% to $4,083.90. Gold even broke below $4,000 at one point, slipping as much as 2.9% to $3,999.90 an ounce. Silver fell to as low as $61.88 per ounce.

Precious metals were supposed to surge on war fear. Instead, they crashed when the war started, and now they are crashing again as the war ends.

Why Are Gold and Silver Crashing?

The answer is not what most people think. As one analysis put it:

The real driver is the Federal Reserve and interest rates.

The Rate Channel

A week ago, with the peace deal in hand and oil coming off its highs, the market had talked itself back into a softer Fed. The odds of a rate hike by year-end had fallen to around 57%. That lasted about a week.

Now the market is pricing a hike at close to 90% odds. Both Deutsche Bank and Bank of America expect the move as early as September. The Fed’s preferred inflation gauge is expected to climb to around 4.1%, up from 3.8%. The dollar closed last week at a fresh high above 100 and is firm again.

Higher inflation keeps the Fed leaning toward a hike.

A hawkish Fed lifts the dollar.

A firm dollar presses gold.

While gold is traditionally seen as an inflation hedge, it loses its appeal as a non-yielding asset in a high-interest-rate environment. Traders are now pricing in three interest rate hikes from the Federal Reserve this year, compared with bets of one hike before last week’s Fed meeting.

The Stock Market Spillover

Gold and silver are also crashing with the stock market today.

When the most speculative trades unwind, investors sell what they can to raise cash and cut risk. The firm dollar adds to the squeeze on anything priced in dollars.

In that kind of move, gold and silver are not a refuge.

They are a source of liquidity.

The higher-beta names fall hardest, which is why silver is down several times more than gold and the miners are down more still.

What Should Investors Do? Ali Martinez Weighs In

Despite the carnage, some analysts see a potential opportunity.

On-chain analyst Ali Martinez highlighted that gold price is trading below its 50-week simple moving average (SMA) for the first time since September 2023. The 50-week SMA currently sits at $4,320.

Martinez noted that in September 2023, gold briefly dipped below its 50-week SMA before reclaiming it in early October.

That specific move triggered a 190% bull rally, from $1,932 up to $5,602.

A clean weekly close back above the $4,320 level could signal a new entry for a potential rally.

Gold needs to achieve a weekly close above the 50-week SMA at $4,320.

That would require a rally of roughly 6.85% from current levels.

If that happens, the next resistance areas sit near:

• $4,450
• $4,600
• $4,850

A stronger continuation could reopen the path toward $5,200.

The Bearish Case

Failure to reclaim $4,320 keeps gold below its medium-term trend line and leaves the market vulnerable to another test of:

• $4,050
• $4,000

A weekly close below $4,000 would weaken the buying-opportunity argument and expose a deeper retracement toward the $3,850–$3,700 zone.

Read also: Robert Kiyosaki’s Gold and Silver Warning: Price Drop Doesn’t Change His Mind

Is Gold at $4,000 a Buying Opportunity?

Gold price at $4,000 looks like a buying opportunity.

But there are still risks.

One bright spot is central bank demand. The monetary institutions added to their holdings at the fastest pace in more than a year in the first quarter, and survey data indicates they intend to buy more.

However, several major banks have cut their gold price forecasts in the last week:

• Goldman Sachs axed $500 from a forecast that now sees bullion ending the year at $4,900 an ounce.
• Deutsche Bank cut its fourth-quarter estimate by 17%.
• ING analysts now expect prices to average $4,300 an ounce in the third quarter of 2026 and $4,600 in the fourth.

Ilya Spivak, head of global macro at Tastylive, warned:

If the 2023 pattern repeats, gold could soar well above $10,000 to as high as $11,724 by mid-2028.

But a repeat of such remarkable performance appears somewhat unlikely given that gold is still trading at levels far higher than anything seen before October 2025.

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The post Here’s Why Gold and Silver Prices Are Getting Wrecked Right Now appeared first on CaptainAltcoin.