Core Viewpoint - The market has confirmed a $50 bottom for silver, and as it enters a "frenzy phase," the gold-silver ratio is expected to undergo significant correction, potentially driving silver prices to $300 in a long-term bull market fueled by supply deficits [1][4]. Supply and Demand Fundamentals - Silver is becoming one of the most notable trading targets for 2025, driven by structural supply shortages and strong industrial demand [6]. - The cumulative deficit over the past five years, including this year, is approximately 800 million ounces, nearly equivalent to a full year's mine supply. This deficit is projected to persist for the next five years according to The Silver Institute [7]. - Industrial demand is significantly driven by solar panel manufacturers, with expectations that the use of silver will increase due to newer, more efficient technologies. Investment demand for silver ETFs is also expected to reach nearly 200 million ounces this year, far exceeding previous forecasts of 70 million ounces [7]. Frenzy Phase and $300 Target Price Logic - The $300 target price for silver is based on a significant correction in the gold-silver ratio, which is currently around 68 after peaking at 104 in April. Krauth predicts this ratio could drop to 15 during the upcoming "frenzy phase" [8]. - Using a current gold price of approximately $4,500, a gold-silver ratio of 15 would yield a silver target price of $300. Krauth considers this prediction more conservative compared to more aggressive forecasts of $800 to $1,000 [8]. - Factors such as a weakening dollar, high government deficits, inflation concerns, and geopolitical risks are also contributing to the surge in precious metals [8]. Short-term Outlook - While silver is in an excellent market position and has confirmed the $50 support level, there is still a possibility of short-term corrections. Krauth remains cautious but believes that the key factors supporting the market will continue to play a significant role for an extended period [9].