Are you also thinking of investing? So this information is very special for you. Till now, it was believed that the price of gold always increases more than silver, but the picture may change in 2025. Experts believe that this year silver can shine more than gold. The main reason for this is the tight supply of silver and its ever-increasing demand in the industrial sector. Let us know why silver is becoming the first choice of investors and what the future holds for gold.
Silver is ready for a long leap
Commodities and Currency Research at Nirmal Bang believes that silver prices may increase even more in 2025. He says, ‘Silver is getting tremendous support from the lack of supply and increasing demand. Even if the price of silver falls by ₹ 5,000 to ₹ 10,000, there is no need to panic.’ He advises investors to hold silver for a long time. Buying it at the level of ₹ 1,23,000 to ₹ 1,24,000 per kg can be a good investment, as prices are likely to go up.
Silver is in the list of critical minerals
The importance of silver is constantly increasing. He points out that recently, many countries have included silver in their national reserves, and the US has placed it on the list of critical minerals. This move has further strengthened the possibility of an increase in silver prices. He estimates that silver can reach ₹ 1,35,000 to ₹ 1,40,000 per kg by December.
Major reasons for the rise in silver prices
There are several major reasons behind the rise in silver prices:
- The use of silver in electric vehicles, solar panels, and the electronics industry is constantly increasing.
- Due to the shift towards green energy around the world, the demand for silver in solar panels has reached record levels.
- Production has come down in many of the world’s largest mining companies, which has reduced their supply.
- Like gold, investors are also buying silver to protect against inflation and geopolitical tensions.
- Big funds and traders in the commodity market are betting on silver, which has led to a rise in prices.
What will happen to gold
On the other hand, talking about gold, he says that gold prices may also rise due to the expectation of a cut in US interest rates and global geopolitical tensions. He has raised his previous estimate ($3,550 an ounce) to $3,650 to $3,700 an ounce. In India, he sees gold trading around ₹1,08,000 to ₹1,09,000 per 10 grams. If Kunal has to invest ₹100 in gold and silver, he will invest ₹70 in silver and ₹30 in gold.