so this time they're going to have to raise money from Bank Reserves themselves and Bank Reserves are going to plummet us I think significantly below $3 trillion and at some point something is going to hit a snag and then we're going to have an avalanche and the f is going to have to reverse from QT to QE cut to zero bam p34 trillion dollar in a matter of weeks and at that point I think the accounting worlds and the physical world are going to go there separate you're watching silver News Daily subscribe for more did
you know that the banking system could be just weeks away from its Breaking Point with Bank Reserves Plumbing below critical levels and the debt sealing crisis looming large the risk of a financial meltdown is no longer just speculation it's a taking time bomb but here's the kicker while the system Teeters on collapse one asset could Skyrocket in value and protect your wealth silver trust me you don't want to miss what's coming next is the signs are all around us and they're impossible to
ignore the account I like finance a lot a lot no pen intended don't agree with him on everything but on this particular I think he's completely wrong his argument um in an isolated sense makes sense he's he's arguing that okay so interest rates are going to go up and if interest rates go up the price of bonds goes down and when interest rates go up uh that means the dollar gets stronger and uh if the dollar gos stronger that the the treasury could just like theoretically buy back all of its own
debt cancel it and then we go back to zero and everything's fine and we start inflating again I mean that that was that was the implication of it um so I agree with the technicals of that it it's theoretically possible that the value of US debt goes down so much that the treasury has enough dollars to buy it all back um and uh and then cancel the debt okay but then you know what happens in the in the wreckage of that and finance a lot he says this he says this pretty explicitly I don't remember
the exact words he uses but um you know the America goes back to its strong position um suggesting that the the resered currency status isn't affected and everything goes back to normal and you know that's and he and by him saying that it's a genius move he's saying that everything's going to be fine after that the the the big problem with that just in in a very broad stroke sense is that this it's an this is an accounting gimmick right and what what he's what he's saying in this tweet is that all
the only all that was wrong with all this money Printing and this debt monetization and all the inflation that has led to all the wars and all the malinvestment all destruction of property and destruction of wealth it's all just it just depends how you count it right if you if you just cancel the debt and then buy it all back then everything's fine like ever happened and that's that's really the mistake that the kenian make and all the other academic economists make I think they
they can control human behavior with equations they think that well if you count the numbers in the right way and you do this and that and you massage things then you know you can you can print as much money as you want you can spend it on whatever you want and the the accounting World sort of like magically bleeds into the physical reality world and and you have this like magic potion right none of that is real right accounting is a a trick that we use to organize real as we dig deeper let's talk about a vulnerability most
people don't even realize exists the fragile state of the banking system at Heart of this issue lies a CCO metric ma reserves these reserves are essentially the lifeblood of the financial system the cash Banks need to meet their obligations and ensure liquidity but here's the shocking part by the end of 2024 these reserves had plummeted to dangerously low levels sitting just above dollar3 trillion a threshold that it breached could trigger a financial crisis of historic proportions why does this matter let's
break it down Bank Reserves are a buffer that protects against chocks like sudden deposit with fraws or financial Market turbulence however with the government on the brink of raising the debt ceiling the US Treasury will need to raise vast sums of money to front its obligations and where will this money come from you guessed it Bank Reserves now imagine this as the treasury pulls funds from reserves the already strained system could be pushed past its Breaking Point Banks would face mounting pressure struggling to maintain
liquidity this creates a domino effect potentially leading to credit freezes assets sell-offs and a loss of confidence in the banking sector we've seen what happens when trust and Banks erods 2008 was a painful reminder of that but here's the twist it doesn't stop at the banks if reserves fall too low the Federal Reserve will have no choice but to intervene experts like rafy Farber argue that the FED might reverse its current course of quantitative tightening QT where it's reducing its balance sheet
and instead shift back to quantitative EAS in key this means printing more money flooding the economy with dollars and cutting interest rates to zero and what happens next inflation explodes the value of the dollar craters and everyday people bear the brunt this scenario is what Farber refers to as the separation of accounting reality from physical reality simply put while Banks and the FED jugle numbers on paper the real economy suffers the consequences and in this chaotic landscape one thing becomes abundantly
clear you need to find Shelter From The Storm but what do you think are we on the verge of a financial meltdown or is this just another chapter in the ongoing saga of economic instability share your thoughts below and don't forget to subscribe because of the next step we'll unpack how the debt cealing crisis could act as the Catalyst for an economic Earth grade what is it what does it mean that the uh the dollar is going to be weakening it doesn't necessarily mean the dollar is going to
be weaker on a Foreign Exchange Market it could be stronger but that stronger relative to what well it's it's well relative to assets that are becoming worthless faster and faster and faster so uh we could we could see and I think we're going to see the dollar become stronger stronger on Foreign Exchange markets and and and all the the other currencies that are based in the dollar Poe into the into the dollar itself because remember other currencies are derivatives of the dollar themselves and
that's what the that's what the post Breton wood system has set up right the the the US put after it won World War after it conquered the worlds basically fiscally it might not have conquered the world um you know in terms of placing its population all over the place it sort of did do that um not entirely but what it did do is it it stuffed its dollars into every other Central Bank so it conquered them uh monetarily right and so that makes every other currency a derivative of the dollar essentially because every other
Central Bank owns dollars and that's that's what gives them their value and that's that's hard for people to accept that that's how it is um so we should see uh the mean the mean that's going back to the the um dichotomy between accounting and physical and real physical reality we should see the world start to separate right as long as inflation remains muted in a way that the public isn't isn't like Kar it's not it's not Hebrew it's not um calling out it's not calling it
out as as a fraud yet then you can have the accounting world and the physical reality World sort of agreeing or or looking like they agree more or less because people aren't checking they're not checking their bunkers for what's actually there uh but as as these worlds separate we we should see the the dollar get stronger in the accounting world but get weaker and weaker in the real physical world so the dollar Index going up but commodity prices going up even faster than the dollar Index goes up and
and and gold going up the fastest because it's the most liquid that's what we should see and um that that process the the separation of the accounting World from the physical reality world where they reflect each other less and less and less until everyone says like the accounting roles is fiction and forget it um then you know they'll let the banks trade the foreign exchange then a certain point like even the banks say like you know this this is is an accounting gimmick and I can't really
buy anything with my salary anymore so then all the banks go into um commodity Futures and and real assets and then you have like the just the global rush into real into real stuff which is led by gold and silver because they're the most liquid and this this is how it happen let's talk about the ticking time long Everyone's Watching but few truly understand the dead ceiling the US government has hit its borrowing limit once again and while Extraordinary Measures are buying time the summer
deadline looms like a storm on the horizon this isn't just a political football it's a crisis in making with global implications here's how it works the debt suit is a cap on how much the government can borrow to meet its Financial Obligations but here's the kicker it's not about new spending it's about paying for spending Congress already approved think of it as maxing out your credit card then debating whether you should pay the bill sounds Reckless right now scale that up to a136 trillion problem
as treasury secretary Janet yell and scrambles to keep the lights on using accounting tricks like delaying payments to government Pension funds the clock is ticking if Congress doesn't act in time the treasury will be able to issue new debt to cover its obligations and this isn't just about government workers missing paychecks or delayed Social Security payments it's about something much bigger The credibility of the us as a risk-free borrower here's why that's so dangerous at fault even a brief one could send
shock wavs through the Global Financial system interest rates on US debt with Skyrocket making it more expensive for the government to borrow in the future but it doesn't stop there the cost of borrowing for businesses and consumers would also rise crushing economic growth and let's not forget the Ripple effects investors spooked by the chaos would lightly flee to safer assets real assets like gold and silver historically these medals have been the go-to during times of uncertainty remember the 2011 debt s in
crisis gold prices had record highs as investors thought a hedge against the turmoil but what's truly chilling is what rafy Farber predicts when the treasury starts pulling funds from Bank Reserves to say flow it could push reserves below critical levels triggering a liquidity crisis in the banking sector and once The Dominoes start falling there's no stopping the Chain Reaction so here's the question is the debt seiling just a political stunt or could this be the Tipping Point that
plunges us into a full-blown financial crisis drop your thoughts in the comments and don't forget to hit the Subscribe button next will uncover why silver might be the ultimate life fode in these turbulent Waters currencies that are also worthless but who cares if the dollar Index is like 300 if the dollar can't buy anything nothing that the dollar can be exchanged for and the foreign exchange markets can be buy anything it doesn't matter like this all stupid accounting game where the
physical reality is that nobody can afford anything so that that's that's the problem um so the then you could ask the the question is uh then why did why is that what happened in the in late 1970s in 1980 why is it that uh the dollar went up as interest rates went up I mean it it was a high interest rate that saved the dollar You could argue that and you know I'd sort of agree with you that vulkar hiked interest rates to 20% and that save the dollar and that that's we're on the the fuels of the
tank of that that that Fiat gasoline today so why did it work that back then and why would it be different now well the difference is that the the interest rates are really high but even though the interest rates are really high the the value of the debt was still solid because the us could still afford to pay 20% interest rates in 1979 1980 it was still doable and investors knew that right real investors are like wow look at that 20% interest rates on a on a treasury bond yeah sure let's let's buy
that 1980 1981 gold looks a little bit overvalued here I mean it's you know $850 an ounce it's like 130% of the the fed's balance sheet it's we're already on a gold standard so don't forget that like like gold has had its time let's buy some treasuries earn the interest um it's very attractive back then because that's you know what 30% of GDP it's manageable it's a high interest rate yes let's lock it in let's get it and so it's buyable and and it's it's a good
investment but now like who's who thinks that the the US can pay 20% on a a 20 a 10 20 30y year bond now that's insane it's not going to happen maybe they could in in dollars that are worthless and that's why Gold's going to go up now as interest rates go up and not down right so as interest rates go up the dollar is going to weaken not strength it it's going to be the opposite of what we saw in the late 1970 is 1980 except Gold's going to go up much higher this time until now that
we've laid out the cracks foring in the banking system a looming debt sealing crisis let's shift our Focus to a solution that has stood the test of time silver while feat currencies wobble and the financial system faces mounting uncertainty silver offers a beacon of stability and here's why throughout history silver has been more than just the metal it's been money from ancient civilizations to Modern economies silver has played a dual role as both his store value and a medium of exchange and
unlike fat currencies which are printed at will sver is a finite resource its scarcity and Industrial demand create unique Dynamic that makes it invaluable during times of financial chaos but it's not just history backing silver Safe Haven status look at the data during the 2008 financial crisis while markets were in free fall silver surged the Saiyan pattern emerged during the 2011 Deb seing crisis with silver prices climbing as confidence in Fe currencies waned and today with inflation rising
and central banks hoarding precious metals Silver's role has never been clearer here's what makes silver particular special right now it's not just a hedge against infl it's also a critical industrial metal as we move toward Greener Technologies like solar panels and electric vehicles Silver's demand is scaring this means that while it protects your wealth during economic turbulence its industrial uses Drive long-term growth but what about those who still see silver as a relic of the past
critics often point to its volatility arguing it's too unpredictable yet is rafy Farber points out this volatility is part of what makes silver such an incredible opportunity when markets are stable silver May fluctuate but in times of Crisis its price movements are anything of ordinary we're talking about potential triple digit growth as investors flee Fiat currencies and rush into real assets so let me ask you by the net Financial storm H will you be holding paper money that's losing value
by the second or will you have silver a tangible asset that has weathered every economic collapse in history think about it and let us know your thoughts in the comments don't forget to subscribe because in the next step we'll break down why hyperinflation could push silver's value to unimaginable Heights Assets in the world so we know that where they are and how much they are and how much needs we can actually satisfy with this real stuff on planet Earth we use Accounting in order to organize
things the thing is you can lie about the accounting that doesn't change the physical reality of what's going on right so like imagine imagine Elijah that you had you have money in your garage right you have like go like gold coins silver coin maybe you do I don't know I'm not saying that you do but maybe you do and you put me in charge of them right to like as your accountant and I'm supposed to like give you a note uh about how much money in real assets let's let's not even say gold Sil let's
say like wheat and Bar barley and food and you know uh that you're stacking for an apocalypse you know let make it real more realistic that you're putting it in charge of your bunker for for the for the endgame for the for the apocalypse and and I'm giving you a statement and when I give you this statement like I give you uh like you know a a piece of paper for every thousand buels of wheat that you have and another piece of paper for every thousand bushels of barley and then for gold bars etc etc you have all
this paper accounting and and and let's say you trade these things with your other uh prepper buddies uh who watch uh reluctant Preppers and Liberty and finance and this you have this like internal economy but let's say like I'm actually stealing your stuff from your bunker without telling you because you know you trust me I have the keys and you're trading all this paper and and you know trading with your prepping buddies and then when it comes down to it and the you know the shtf and you go
down into your bunk you realize that I took it all right the accounting that you're pretending that you have all this stuff and you're trading these papers with your friends it's not going to change the fact that you don't have anything right so when things are really bad you know all of a sudden accounting does not match with what you have discovered the physical reality to be and you're just as screwed as you were when you were trading these papers around and and and getting assets from
those from that trade it none of it was real right and then you you experience hyperinflation and and and then it's it's done right so uh that's that's just from that's just from like a broad Strokes perspective you cannot you can't pretend that accounting is what's real here and it's the accounting that's the problem and it's uh and and the physical reality is not really connected to it the the other thing is you can you can explain it um just more more directly
more causally than that uh and that is that uh the fed's balance sheet is the dollar it's the asset side of the dollar the dollar is the liability and what backs the liability is mostly treasury debt about 93 94% if I got the numbers correct right and based on the the the fake valuation bold of $42 in the FED balance sheet so if what mostly backs the dollar is the debt if the interest rates go up on the debt and the debt becomes worthless that means that 93% of the assets that back the dollar aren't
worth anything and so what what is worth something on on the fed's balance sheet is the gold right so then the gold the value of the gold goes up when the value of the debt goes down it has the balance out and then all the purchasing power gos to the gold holders anyway but that you C you can't have a situation especially in an endgame scenario where interest rates go up and the purchasing power of the dollar goes up it might go up in terms of other if there's one term that strikes fear into the hearts of
economists and everyday Savers alike it's hyperinflation it's not just an economic concept it's a reality that has wiped out savings destroyed currencies and plunged entire nations into chaos according to rafy Farber the US may be closer to this nightmare scenario than most people think let's start with the basics hyperinflation occurs when prices spiral out of control due to excessive money printing it's not just High inflation it's inflation on steroids where the value of money
collapses so quickly that people rush to spend their cash before it loses more value this is what Austrian Economist lwood vanon famously described as the crackup boom a terminal phase of monetary collapse driven by a loss of cont confidence in currency now here's the scary part many of the warning signs are already here in the aftermath of the pandemic the Federal Reserve printed trillions of dollars to prop up the economy while this flood of money initially kept things float it also planted the seeds
of an inflationary surge fast forward to today and we're seeing crisis rise across the board from food to housing to energy but here's where it gets worse as the US government continues to pile on debt and the Federal Reserve faces pressure to resume money printing through quantitative EAS and key the conditions for hyperinflation become even more likely remember this isn't just about Rising prices it's about the dollar losing its status as a trusted store of value and when that trust evaporates the
rush to tangible assets begins silver as Farber points out is poised to benefit the most in this environment why because unlike F currencies that can be printed infinitely silver is limited by its physical Supply during hyperinflationary perod real assets like silver and gold have historically skyrocketed in value as people desperately seek a hedge against their collapsing currency let's look at a historical example the wymer Republic in Germany in the 1920s hyperinflation got so bad that loaf of bread went from costing a few
marks to billions of marks within months yet those who held silver and gold were not only shielded from the chaos but also came out ahead farver predicts a similar Dynamic could play out here with silver potentially surging to unprecedented Heights so here's the question are we already in the early stages of a crackup boom at hyperinflation is the end game for Fiat currencies what steps are you taking to protect yourself let let us know in the comments and make sure to subscribe in The Next Step we'll explore
why Bitcoin may not be the safe haven some believe in why silver is a superior choice in the collapsing system yeah um it's going to be on a it's it's going to be on a bigger scale um it it just depends there is a sector somewhere that is weak um in 2023 was it the weakness was revealed in digital banking um this time it could be revealed in some other group of banks um maybe maybe like the big ones that have those large I'm just guessing I don't know this isn't a prediction but um you know Bank of
America has these large unrealized losses um which should be getting worse and worse because interest rates are going higher and higher they just jumped like 10 basis points on Friday uh so it could be it could start in a very big bank which could start a domino and all the other banks that have these large unrealized losses so instead of uh you know Silicon Valley it could be Bank of America but I don't know I don't know what it's going to be but it's going to be something bigger and
it's going to spread and uh the FED is going to have to print or die um or print and die now let's dive into one of the hottest debates in the financial world is Bitcoin the future of money or is it just another bubble waiting to burst rafy Farber has a clear answer it might surprise you he believes Bitcoin is fundamentally flawed as a hedge against the coming collapse of fat currencies but why does he think silver and gold are the safer bets let's break it down first we need to understand the
argument in favor of Bitcoin its proponents claim it's the digital gold a decentralized currency free from government control and resistant to inflation due to its Cap supply of 21 million coins sounds like a solid hedge right but as farver points out bitcoin's value hinges on a fragile assumption that the digital infr structure supporting it will always function here's the problem Bitcoin exists entirely within the digital realm it relies on electricity the internet a complex network of Miners and validators
to operate now fulls scale Financial collapse or a severe geopolitical crisis these systems could become unreliable or even inaccessible and unlike gold or silver Bitcoin has no physical presence no intrinsic value you can hold in your hand if the digital infrastructure falters Bitcoin could lose its utility overnight contrast that with silver it's not just a monetary asset it's also a critical industrial metal used in everything from Electronics to medical devices to Renewable Energy Technologies this dual demand gives
silver a unique resilience even in a crisis where currencies fail Silver's physical properties and practical us and sure retains value another key Point Farber makes his volatility bitcoin's price swings are Infamous with massive gains followed by equally dramatic crashes while silver can also be volatile its historical role as a safe haven asset has made it far more stable during periods of economic turmoil Silver's price movements are driven by fundamental supply and demand Dynamics not speculative hype and then
there's trust gold and silver have been trusted stores of value for thousands of years they've weathered countless crises Wars and financial collapses Bitcoin on the other hand has been around for just over a decade its Short History makes it difficult to predict how it will perform in truly dire circumstances so what does this mean for you should you put your trust in a digital experiment where are the tangible assets that have preserved for centuries think about it and let us know your thoughts in the comments don't
forget to subscribe because in the next step we'll discuss how Rising interest rates and stagflation could create the perfect storm for silver prices to soore are starting this they're going to start drawing money down from their checking account which is not considered Bank Reserves and that that money is going to be spent down into Bank Reserves so Bank Reserves are going to go a little bit up and then the extra money is going to go back into reverse repo and then what I think's going to happen
is they're going to stay more or less stable like around the 3.2 3.3 trillion dollar Mark uh you know up and down there by hundred billion doll every week until the bank uh until the um the debt ceiling is raised and when the debt ceiling is raised all of a sudden you're gonna see like we saw last time in June 2023 was what did is it did they start falling in 2020 I think they started falling in J 2023 yeah um what happened uh was that that ver repo started to fall as the treasury started to uh sell
more debt and uh and then Banks took the money from the reverse repos and bought treasury bills and so the money went out of uh it went out of reverse repos into uh into the banking system and the thing is now back then like the the government could afford to do that without triggering some kind of catastrophe because there was like $2.2 trillion do stuck in reverse that could have been used but now there's like 150 billion it's basically zero I don't want to call $150 billion zero but like in the scheme
of things it's not that much so there's not going to be any kind of buffer this time when the debt ceiling is raised and all of a sudden the treasury goes from a zero dollar balance and we all know we we've seen this before the the treasury is not going to so this problem isn't going to be solved until the treasuries account goes very close to zero and then all the politicians oh I got to save the country and raise the debt ceiling they're going to raise whatever it's going to be and then the treasury is
going to raise hundreds of billions half a trillion up to a trillion dollars in short-term debt just to fill its account and uh but where's that money going to come from this time last time I came from R repos this time those that those dollars don't exist anymore because of QT and they're all gone so this time they're going to raise they're going to have to raise money from Bank Reserves themselves and Bank Reserves are going to plummet as I think significantly below $3 trillion and at some point
something is going to hit a snag and then we're going to have an lch and the F going to have to reverse from QT to QE cut to zero bam pin three4 trillion doll in a matter of weeks and at that point I think the accounting worlds and the physical world are going to go their separate ways Rising interest rates and return of stack flation two economic forces that many believed were relics of the past are now front and center into today's Financial landscape and the implications for silver that could beain
changing let's start with interest rates over the past year the Federal Reserve has been aggressively raising rates to combat inflation but here's the twist instead of stabilizing the economy these rate hikes are creating a paradox while short-term rates have gone up long-term treasury yields have also risen something that hasn't been seen since the stagflationary era at the 1970s for those unfamiliar stagflation is a toxic mix of inflation stagnant economic growth and Rising unemployment
it's the worst case scenario for central banks and it's looking eily similar to where we're heading now why is this happening Rising rates make borrowing more expensive slowing down the economy at the same time inflationary pressures driven by supply chain issues geopolitical tensions and money printing are pushing prices higher this combination squeezes consumers and businesses alike setting the stage for prolonged economic stagnation and here's where silver comes in during the stagflation of the
1970s silver and gold saw unprecedented gains investors turn to these Metals as a hedge against inflation and a way to preserve their purchasing power sver in particular are performed as its dual role as an industrial and monetary asset Amplified its value today we're seeing Echoes of that same Dynamic with inflation far from under control and interest rates threatening to stifle growth silver is once again emerging as a goto asset but it's not just inflation driving demand the industrial use of
silver is surging thanks to its role in green technologies like solar panels and electric vehicles this creates a rare double benefit while silver protects your wealth in the short term its long-term industrial demand promis is a significant upside here's another factor to consider Rising interest rates are putting pressure on the federal government's ability to service this massive debt as borrowing costs climb the likely vote of another round of quantitative ease in key increases and we know what that means
more money printing higher inflation and even greater demand for tangible assets like silver so let me ask you do you think the Federal Reserve can navigate this tit Trope without plunging us into another economic crisis or are we already headed for stagflation with silver as one of the few lifelines left drop your thoughts in the comments below and make sure to subscribe in The Next Step we'll explore how central banks are quietly hoarding gold and silver and what that means for your Investments so what I'm tracking
I'm I'm always looking for the proximate trigger for what is going to lead to this apple I think we're where I think we are now is like the the snow is ready it's like stacked there and uh you know you just need like one stone to like throw at at the right angle and then the whole Avalanche comes down and the skars are in trouble so I think I'm looking for where the weak spot is that's going to cause the Avalanche I think we're like one Stones throw away and what I'm
looking at um is the Bank Reserves level of somewhere below uh three3 trillion which is where the last bank crisis was triggered so and I think it's a safe it's a safe bet I'm not I'm not not not saying place to bet but I'm saying it's a it's a safe inference that uh the $3 trillion Bank Reserves level should trigger something um when it's hit again and we did hit it on the year end term we hit it at the end of December um which is expected because that's when Banks uh take all
their extra cash and they like stuff it in the Fed so that's not on their balance shoot so they look nice and skinny and that like reduces their fees for whatever regulatory reason um so we did see Bank Reserves uh fall below $3 trillion very briefly but then again we did it took several months like two or three months of a reserves level below $3 trillion trigger the regional banking crisis so we need to stay below three3 trillion for a while maybe a few months uh before something really big starts to happen um so what
what's happening now is that um the debt ceiling has been hit right they can't raise any more debt meaning the the treasury what that means mechanically is the treasury cannot suck any more money out of Bank Reserves to itself to spend so what they're going to do is they're going what's going to happen is they're going to start drawing money down and they're already while the headlines are dominated by debates over inflation and interest rates there's a quieter story unfolding behind the
scenes one that speaks volumes about the future of our financial system central banks around the world are hoarding gold and increasingly silver but why are they doing this and what is it mean for everyday investors let's start with gold central banks added a staggering 30 million ounces to their reserves in 2024 and the trend shows no sign of slowing this isn't just just a speculative move it's a strategic shift central banks understand something crucial as the global economy becomes
more unstable in trust in Fiat currencies ER roads tangible assets like gold will offer unparalleled security but here's the twist silver is now catching their attention to historically overshadowed by gold in Central Bank Reserves silver is starting to gain recognition for its unique properties it's not just a monetary nle it's an industrial Powerhouse as the world transitions to Greener Technologies Silver's demand in sectors like solar energy and electric vehicles is skying central banks see this dual role
as an opportunity to hedge their reserves against both economic and Industrial volatility why is this happening now the answer lies in the fragility of Fiat currencies with countries like the US grappling with Sky in debt and runaway inflation central banks are preparing for a possible shift away from the dollar as the world's reserved currency by stockpiling gold and silver they're insulating themselves against the chaos that could follow here's an example China and Russia have been aggressively
increasing their gold reserves and analysts speculate that silver could be our next Target these moves aren't just about diversification they're signal of declining confidence in the current monetary system central banks are positioning themselves for a world where Fiat currencies May no longer dominate what does this mean for you it's simple it's central banks the very institutions that print money are turning to gold and silver as safeguards should to be doing the same their actions validate the
importance of these medals as a hedge against Financial uncertainty but here's the burning question as central banks quietly buy up precious metals could this lead to a supply squeeze driving prices even higher and are you prepared to secure your share before the window of opportunity closes let us know your thoughts in the comments and don't forget a subscribe The Next Step we'll Del how investor behavior is Shifting during inflationary periods in why silver is becoming the ultimate Refuge
look I've said the bubbles popping before I I don't know I mean I I don't know if I all I know for sure is that it is a bubble because it doesn't make it doesn't make any sense that after the dollar is dead that anyone would be using this stuff I mean I've heard so many arguments and uh and none of them make any sense to me um because money has to be a commodity it has to be logically there is no other option and um look we've we've seen we've seen so many stories of bubbles before it's
happened so many times and and and every time people get hurt uh smart people get hurt and rich people get hurt I think I think Isaac Newton was even one of the he was he was one of the guys who got hurt in the in the in the John Law bubble am I getting that right I'm not sure maybe I'm getting the times off but like Isaac Newton who's like one of the smartest people ever and for from who we have in neutronian physics and and the understanding of our reality as we know it until we get the Quant on but that's
different story but like people get hurt from these things and they happen when there's a lot of money Printing and so there's a lot of money printing now and then there's this new thing called Bitcoin and what what is what is I know I know it's a I understand it like people say oh rafy doesn't understand Bitcoin I I get the point I get the point that it's a it's a a lger but okay this is going to pop and you can already see as the market wobbles and as interest rates wobble and as the assets
that back the that back the dollar debt backs the dollar because of the do balance sheet and uh the do the dollar backs Bitcoin even though you you will deny that it does it does right the because Bitcoin is on the chain and you got to go back in the chain and it's got to eventually go back to a commodity there's no stopping that that's the regression principle that's the the regression theorem or however you want to put it this is going to pop um I I have said in the past that uh
I think the top was in at about 37 ounces of gold there was a marginal break of that um maybe six or seven weeks ago to 39 ounces of gold for like a few hours and now it's pulled back down so what we have now on the technical charts at least is a marginal break of a double top and a reversal which if you're uh if you're into technical analysis is a very bearish chart and if you want to pull that into uh Austrian um style interpretation you know uh buyers would go in on what looked like to be a break of the double
top to uh you know to try to push um to push momentum and then the reversal momentum means that the people who pushed it above to from 37 to 39 ounces of gold they ran out of ammo and they don't have anymore and now they're hoping that somebody else pushes it past the double top but what we have now looks like you know a triple top then that's that's pretty bad uh could I could could Bitcoin go higher from here yeah but it's going to pop when the dollar dies that I'm sure of when
there's no more dollar there will be no more value in Bitcoin blockchain maybe Bitcoin not let's talk about what happens when investors lose faith in Fiat currencies a phenomenon were already beginning to witness as inflation surges and governments pile on debt the value of paper money erods leaving investors searching for alternatives to preserve their wealth and guess what they're turning to tangible assets with silver emerging as a standout Choice here's why this flight from Fiat currencies is gaining momentum
historically fat money relies entirely on trust it's backed by nothing but government promises which lose credibility when inflation spirals out of control or fiscal policies become unsustainable which seen this before in places like Zimbabwe and Venezuela where hyperinflation turned National currencies into worthless paper investors who had their savings tied up in Fiat suffered catastrophic losses while those holding real assets like silver and gold emerged unscathed today we're seeing similar
warning signs globally with the US dollar under pressure from Rising Dead levels and geopolitical tensions Savvy investors are realica their portfolios precious metals particularly silver are becoming the go to Choice why because silver offers both monetary and Industrial value making it uniquely positioned to thrive in an inflationary environment let's break it down further inflation eats away at the purchasing power of FIA currencies making every dollar you hold worth less over time meanwhile silver retains its value
because it's tied to real world demand it's used in Technologies ranging from medical devices to solar panels ensuring a steady KN for this metal even when other Investments falter and here's the kicker as more investors is Pivot to Silver the demand skyrockets while the supply remains limited unlike fed money which governments can print endlessly silver is a finite resource this imbalance is what drives prices higher creating a self-reinforcing cycle of demand and appreciation but let's address the
Skeptics is silver really the safest bet in the financial crisis the data speaks for itself during times of economic instability silver has consistently outperformed most other asset classes providing a reliable hedge against inflation and currency devaluation so here's the question are you willing to watch your purchasing coward dwindle as inflation eats away at your savings or will you join the growing wave of investors seeking refuge in silver share your thoughts in the comments below and don't forget to
subscribe in The Next Step we'll uncover Silver's unique dual role as both a monetary and Industrial asset and while it makes it an unmatched investment opportunity let us know your thoughts in the comments and don't forget to subscribe in The Next Step we'll delve into how investor behavior is Shifting during inflationary cuas and why silver is becoming the alternate Refuge you know I hear you know people like Peter Schiff uh making these kinds of comments and I can't say that they're
wrong but like things like uh you know long-term Bond investors they don't believe that the that the FED can pay it back or sorry sorry that the treasury can pay it back anymore they're worried about inflation um I guess that's true except you know these these the institutions that are buying right it's not like they're making investment decisions uh like like individual human beings would they're part of this huge system this huge machine that just like Chomps up liquidity spits you know chews
it up spits it out somewhere else and you know and it's like Grist for the mill uh so like the question more is like you know what are these individual investors thinking because we're talking about like uh like huge Banks here or huge central banks that are that are the the indirect biders on these um on these Securities like what are they thinking um why is why is the whole the machine being clocked now and I can't say it's any individual's Choice um you have to look at it more
mechanically and I haven't exactly worked out like how could you describe in um in an Austrian economic sense where you want to always get down to the human level how do you describe a huge machine like this where there's no single actor with uh individual desires May these like you know hundred billion dollar Bond watches that are making decisions what's going on here um it could it it could be um that foreign denominated debt like you know what what keeps what keeps uh foreign central banks buying these bonds
or buying dollar denominated debt ah I mean it could it could be central banks are trying up foreign central banks are trying to break their Rel ship with the dollar it could it could be political decisions like that or that just could be exacerbating it I mean I'm probably going to write an article about this try to think about it more um about what exactly is causing uh this giant machine to clog up and um I can't really answer it right now but it it's this is a monster and it's it's got indigestion and we know
that that that was going to happen um um so just you know get out of the way here Silver's unique dual role is both a monetary and Industrial asset sets it apart in the world of Investments while gold often gets the spotlight for its safe hidden status silver offers a combination of stability and roof potential that is unmatched let's unack why this metal holds such a pivotal position in today's economic landcape first it's monetary role but gold silver has been used as money centuries it's a tangible finite asset
that can't be printed or artificially created making it a trusted store of value during times of economic uncertainty in every financial crisis silver's value has surged as people sought to protect their wealth from the erosion of Fiat currencies but silver is more than just a hedge it's also an industrial powerhouse it's a critical component in technologies that are shaping the future from solar panels and electric vehicles to medical devices and electronics in fact over 50% of silver demand now comes
from industrial applications this dual demand both as a safe haven asset and as a crucial industrial material creates a rare Dynamic where Silver benefits from both economic turmoil and technological progress now consider the current market conditions on one hand inflation is driving investors toward hard assets like silver on the other the global push for renewable energy is supercharging industrial demand for the metal this onew punch is creating a perfect storm for silver prices to rise but here's
something even more compelling Silver's accessibility unlike gold which can be prohibitively expensive for many investors silver offers an entry point that's affordable while still delivering significant upside potential whether you're buying coins bars or ETS silver provides a way to diversify your portfolio without breaking the bank yet there's a critical challenge the supply demand IM balance silver mining can't keep Pace with the growing demand and as central banks industrial sectors and
private investors all compete for finite resource prices are poys declin even higher so let me ask you in a world where fat Curr currencies are losing value in industrial demand for silver is exploding can you afford to ignore the unique opportunity this metal presents drop your thoughts in the comments and hit that subscribe button coming up in the final step we'll tie it all together how the banking crisis hyperinflation and Silver's growing demand could lead to a price surge unlike anything we've
ever seen uh yeah I think what I said was um I think I was quoting wolf rifter who's also like he's a really good uh you know Financial reporter um pretty good on the on government stats and stuff like that so um if he he was saying that he's he's not sure if this has ever happened before that interest rates have risen what is like 114 basis points from the bottom since the cuts since the the FED Cuts started right and uh so the FED has cut 100 basis points but 10 like the longterm the 10e 20-y year 30-year um
notes and bonds have gone I think he said 114 basis points I think it's higher I think it's like 120 130 U and he's like he said he wasn't sure if this has ever happened before and he's he's right it's never happened before to this extremity um but we have seen in the past in the 1970s where the Fed was cutting and and during that that time overall um uh they were cutting the FED funds rate but the long-term treasuries were were falling in value meaning long-term interest rates were
still Rising not as sharply as they are now but it was happening that was 1974 or 1975 uh so uh if it that was you know that was the the meat of a bond bear market and now we're just at the beginning of a bond be Market which started in 2021 so that was only three years into it and 1975 I think the the last Bond bar Market started in 1946 if I'm not mistaken and it ended in 1981 so at that point we were uh about close to 30 years 46 which 627 a little bit less than 30 years into the bond Mar
Market this time we're like two three years into it we got a long way to go um and um it should it should be scary for people who own you know 10 20 30y year debt um to be at the you know three years into a huge bare market and these bare markets usually last many decades and we just started once so uh you might want to get out of your long-term debt and get some real assets which is what's going to happen and um going to be we've explored the cracks in the banking system the looming threat of
hyperinflation and the Relentless demand for silver from both investors and Industry now it's time to connect the dots and understand why all these factors point to one conclusion a massive surge in silver prices is not just possible it's inevitable here's how it all comes together the fragile state of Bank Reserves and the debt sealing crisis are setting the stage for economic instability on a scale we haven't seen in decades as trust in the Fiat monetary system roads central banks are quietly
stockpiling gold and increasingly silver this isn't just a hedge it's preparation for a future where Fiat currencies lose their dominant position meanwhile the inflationary pressures Unleashed by years of excessive money printing or eating away at the Dollar's purchasing power but central banks likely to resort to more more quantitative yease in key to stayed off economic collapse the dollar could spiral further into devaluation and when that happens history shows us exactly where investors
will turn to tangible finite assets like silver but it's not just about monetary protection Silver's industrial demand is surging thanks to its critical role in green technologies and electronics this dual demand both as a safe haven and as an industrial necessity creates a unique Dynamic where silver thrives regardless of broader economic conditions here's what this means for you analysts like rafy Farber predict that as these forces converge silver prices could reach levels previously
thought impossible we're not talking small gains we're talking about silver potentially doubling or even tripling in value as the flight from Fiat currencies accelerates an industrial demand source but timing is everything with central banks hoarding medals investors snapping enough silver to hedge against inflation and Industrial sectors competing for a limited Supply the window of opportunity to secure silver at today's prices is closing fast so the question is will you be ready when silver takes off the
signals are clear the trends are undeniable and the time to act is now thank you for watching and if you found this discussion valuable make sure to subscribe for more insights like these remember this is not Financial advice just to guide to navigating the turbulent Waters ahead stay prepared stay informed and we'll see you in the next video
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