In the world of investment in 2025, if any metal has been discussed the most, it is silver. With a rise of 120 per cent since the beginning of the year, silver has touched a historic high of ₹2 lakh per kg. This performance is the largest annual increase since 1979. But experts believe that this is just the beginning. According to experts, silver may reach ₹2.5 lakh per kg by 2026, which means a further increase of about 25 percent is possible.
Why is silver rising so fast?
This rise is not due to emotional speculation, but due to a solid shortage in supply and rapidly increasing industrial demand. Axis Direct says global silver mining has remained stable at around 810 million ounces, showing little to no growth over the past five years. Importantly, 70 to 80 percent of silver is produced as a byproduct of copper, lead and zinc mining. This means that despite rising prices, the supply of silver may not increase rapidly because the demand for the primary metal is not that high.
Axis Direct also said that the biggest change has come from the solar photovoltaic sector. While silver consumption in the solar sector was 94.4 million ounces in 2020, this figure has reached 243.7 million ounces in 2024. Now, the solar industry alone accounts for 21 percent of total global demand.
Global market boom
Meanwhile, the persistent premium between the COMEX and London spot prices has encouraged the US to unload silver, emptying London vaults and further reducing silver liquidity in the global market. Although COMEX inventories are increasing, it is stock taken from other markets. According to Axis Direct’s technical analysis, silver has broken a decade-old bottoming pattern. If it closes above $67, it could reach the range of $76 to $80. However, some resistance may be seen around $65.
When can I get an investment opportunity?
Axis Direct also advised that if home prices fall in the range of ₹1.70 to ₹1.78 lakh, it could be considered an investment opportunity. Their target is ₹2.40 to ₹2.50 lakh per kg by 2026. In the opinion of experts, silver is not only becoming expensive, but its price is being re-determined. This bullishness will continue and is still bullish due to physical shortage, increasing demand and investor interest.
