On Tuesday morning around 11 o'clock Beijing time, spot silver broke through the $70 per ounce mark, with a year-to-date increase of 142%.
As of data from early Tuesday, the world's largest silver ETF--iShares Silver Trust (SLV) increased its holdings by 533.01 tons compared to the previous day, marking the largest single-day increase since January 2023, with a current holding of 16599.25 tons.
The year 2025 is a historic year for precious metals, with both gold and silver breaking previous records. While the 70% increase in gold is impressive, silver's three-digit performance this year easily surpasses gold's returns. Precious metals provide a compelling hedge against market volatility, persistent inflation, and geopolitical tensions.
This explosive rise in silver this year is not driven by a single factor but is propelled by a powerful fusion of fundamentals and macroeconomic forces.
It is particularly noteworthy that, according to a report by Forbes, after years of outflows, investment capital surged back into silver through ETFs and other tools in 2025, amplifying price movements. Clearly, several silver ETFs have achieved returns of around 100% or more this year, with substantial ETF inflows often seen as a key driver of upward momentum.
Analysts maintain a generally constructive outlook on silver's trajectory entering the new year, while warning that the pace of increases may slow after the rapid surge in 2025. A structural supply-demand deficit is expected to persist, providing solid support for prices.
From an investment perspective, major institutions continue to see upside potential. For example, BNP Paribas outlined a scenario where silver prices could reach $100 per ounce by the end of 2026.
Notably, silver's performance in 2025 has already surpassed the 2026 price targets set by several major banks, including JPMorgan's prediction of $58. While this suggests that the surge has come early, it also highlights the power of the underlying fundamentals.
Market sentiment also reflects this optimism. According to a survey conducted by Kitco News this month of 352 retail investors, over 50% of retail traders predict that silver will once again be the best-performing metal in 2026.
In short, the story of silver has evolved from a simple precious metal play to a direct bet on global electrification and technological advancement.
Fxstreet reports that the broader technical structure seems firmly tilted towards bullish traders, indicating that the path of least resistance for silver remains upward.
Fxempire reports that buyer momentum continues to dominate. Currently, conventional technical support levels such as the swing low of $60.80 and the 52-week average of $54.12 have temporarily failed, and market trends are extremely expansive, with the focus fully shifting to the $70 integer level. Once a breakout is confirmed, prices are expected to quickly test $75, especially with silver's recent daily gains consistently exceeding 1%.
Moreover, a larger rotation is underway: copper prices are at historical highs, indicating that investors want a broad range of commodities, not just precious metals. Some of this is to address more severe inflation. A portion of funds is flowing into physical assets, while interest rate expectations have become more supportive. However, silver is right at the intersection of these themes—partly a monetary metal and partly an industrial powerhouse.
The fundamentals also support this. Due to ongoing supply shortages, rising industrial demand, and steady investment inflows, silver is the type that traders are chasing even without geopolitical noise.
