I don't think most folks are really thinking that strategically. I think last week was a herd mentality. It is a powerful force. With the herd now grazing, some folks are just looking for pastures elsewhere. I think it is pysch more than fundamentals.
I agree its a bit of psychology and a bit of profit taking, I read many posters saying it will back off because it went up too much too fast, not one of em looked at fundamentals whether its over valued or under valued, so I imagine many investors also sold using that logic and/or profit taking and many are hypothesising that Silver will back off and in turn AXU, I believe we will see another Bull run or at least getting into the 24$ mark for Silver and then more or less sideways movement after the elections, depending on when QE2 is announced, how much, was it priced in already etc etc, and by end of year we'll see Silver in the 25$ - 30$ area, In doing so we'll see AXU pick up again, and if we get any positive news, drill results etc it will go higher than the recent highs. In short I see AXU being anywhere from 6$ to 9$ by years end depending on Silver price and on drill results/news.