Silver prices experienced significant volatility, surging to an all-time high before falling sharply within a single day. This fluctuation is attributed to short covering and speculative activity, fueled by a perceived mismatch between tight supply and strong demand. Analysts note a year-long rally in precious metals, driven by central bank purchases, ETF inflows, and anticipated US Federal Reserve rate cuts, with some describing the current market as a "generational bubble" due to industrial demand and depleting inventories.