Is It Really “Insane” to Buy Silver Right Now? Why the Smart Money Might Disagree

The Mainstream Take: Don’t Touch Silver, But Gold’s Still a Buy

Peter Kinsella, Global Head of FX Strategy at UBP, was recently interviewed by Bloomberg about the recent surge in silver prices — and he didn’t hold back. His comments come as silver has been ripping higher: in the first few weeks of 2026 alone, the metal has climbed more than 25% after already exploding roughly 140% in 2025, approaching multi-decade highs and reflecting both industrial demand and macro uncertainty. In that interview, Kinsella framed his views through the mainstream narrative of silver investing, arguing that the current price action is driven more by momentum than fundamentals. Here’s the core of what he said:

• Silver is up over 50–60% in just a few months, making it overbought.
• Volatility is sky-high, with implied vol nearing 70% — too risky to enter now.
• Silver’s rally is more a function of momentum than fundamentals.
• He claims there’s no real physical shortage — U.S. stockpiles are up.
• To go higher, silver would need the gold/silver ratio to crash to historic lows (30–40), which he calls unrealistic.
• Gold, however, still has room to run due to rising resource nationalism and geopolitical instability.

On the surface, these points seem rational. Silver’s had a big run, and anyone who’s been around metals knows they can correct just as fast. But let’s peel back the layers.

Yes, Silver's Run-Up Has Been Sharp — But That’s Not the Whole Story

Kinsella’s right about one thing: silver has surged recently. But calling it “insane” to buy at current levels completely ignores how undervalued silver still is in the bigger picture.

Let me put it in working-class terms: if silver was a beat-up truck that just got a new engine, it may be more expensive than last month, but it’s still priced like junk — even though it’s got horsepower under the hood.

The Gold/Silver Ratio Argument Falls Flat

Kinsella leans heavily on the gold/silver ratio, saying silver would only go higher if that ratio fell to 30 or 40 — historically low territory.

But here’s the kicker: that ratio was artificially high for years due to financial repression and Wall Street manipulation. When silver spiked in 1980 and again in 2011, the ratio did fall below 40 — because it was correcting decades of distortion.

So no, betting on a 40:1 ratio isn’t “stupid,” as Kinsella says. It’s happened before, and it will happen again when people wake up to silver’s real monetary and industrial value.

What He Gets Right About Gold

Now, I’ll give credit where it’s due. Kinsella nails the case for gold in today’s environment.

He talks about:

• The kidnapping of Venezuela’s President
• Rising conflict over Greenland’s resources
• A growing trend of resource nationalism — countries hoarding their own gold, silver, and rare earths instead of exporting them.

That’s not just noise — that’s a red siren. We’re entering a new era where currencies are becoming weapons, and gold is neutral territory.

But here’s where I part ways with Kinsella again…

Silver Is a Geopolitical Metal Too — Not Just Gold

When politicians start hoarding resources and cutting off exports, they’re not just grabbing gold. They’re going after everything strategic — and that includes silver.

Silver is used in:

• Military tech
• Solar panels
• 5G infrastructure
• Electric vehicles
• Medical devices

You think governments fighting over lithium and copper are going to ignore silver? Not a chance. In fact, silver’s dual role as a monetary and industrial metal makes it even more explosive when the squeeze hits.

Is There Really “No Shortage” of Physical Silver?

Kinsella says the narrative about silver shortages “doesn’t stack up” because of U.S. stockpiles.

That sounds good on paper — but here’s the truth:

• COMEX inventories have been steadily declining for the past two years.
• Industrial demand is at record highs, especially in green tech and defense.
• The premiums in some countries (like India and China) show tight supply and high demand.

So sure, maybe there’s more silver sitting in U.S. vaults today. But it’s already spoken for — by manufacturers, by ETFs, by investors who aren’t planning to sell.

When the next supply shock hits, those “paper ounces” won’t save you.

The Volatility Scare Tactic

One of the oldest tricks in the fiat finance book is using volatility as a scarecrow.

“Don’t buy silver — it’s too volatile.”

Translation: “Don’t buy silver because you might make too much money too fast, and we can’t have the masses waking up.”

Yes, silver is volatile. That’s why smart investors accumulate on dips — not chase spikes. Volatility is your friend if you understand what you’re holding.

And make no mistake — you’re holding a weapon against inflation, debt, and dollar devaluation.

What Kinsella (and Wall Street) Isn’t Telling You

Here’s what’s conveniently left out of the conversation:

• The U.S. dollar is being deliberately destroyed. The Fed needs inflation to burn off debt — and that means devaluing your savings.
• Central Bank Digital Currencies (CBDCs) are coming fast — with surveillance and control baked in. You think your money is yours? Wait until FedNow tells you when and where you can spend it.
• Gold and silver are outside the system. They’re not tied to your social credit score or government policy. That’s why they’re the ultimate escape hatch.

So while Wall Street analysts play word games and talk down silver’s price, the smart money is getting physical. Quietly. Consistently. And without fanfare.

Final Word: Don’t Let the “Experts” Talk You Out of Real Protection

I’ve seen this game before. In the early 2000s, I was working with clients when gold was under $400 and silver was $5. The media said the same thing then: “Too volatile. Too risky. Doesn’t earn interest.”

And you know what happened? Those who bought and held have crushed the S&P over the long haul — and slept better doing it.

So, is now the time to back up the truck on silver? Not necessarily — but you sure as hell don’t dump it or sit on the sidelines if you believe what’s coming.

Buy the dips. Hold for the long term. And stay far, far away from the mainstream financial echo chamber.

Call to Action: Don’t Wait Until It’s Too Late

They’re not going to ring a bell before the next bank collapse or currency reset. You’ve got to be ahead of the curve — not behind it.

Get physical. Get secure. And most of all — get informed.
Because once the window closes, it’ll be too late to ask, “Why didn’t anyone warn me?”

Download the “Digital Dollar Reset Guide” now — your future self will either thank you or curse you, depending on what you do next.