While silver has taken a sharp hit in recent sessions, falling in tandem with global commodities amid rising trade tensions and recession fears, analysts believe this correction could be a set up for a strong rebound. Often overshadowed by gold’s rally, silver has quietly positioned itself as a high-conviction play for 2025—driven by its unique blend of industrial demand, monetary relevance, and undervaluation.

As experts begin to shift focus from gold's peaks to silver’s potential, the metal is emerging as a key asset to watch in the evolving global market landscape.

Unlike gold, silver’s dual identity as both a monetary asset and an industrial metal positions it uniquely in the current global macroeconomic landscape. With over 50% of its demand tied to industrial use—including in electronics, solar panels, electric vehicles, and semiconductors—silver is expected to benefit immensely from the ongoing clean energy and tech boom.

Renowned author Robert Kiyosaki recently called silver the “hottest investment today,” forecasting its price could double to $70 per ounce in 2025. Citing its affordability, undervaluation, and relevance to both energy and currency dynamics, Kiyosaki emphasized that silver remains significantly below its all-time highs—offering a compelling entry point amid inflation and fiat currency concerns.

Echoing this view, global investment veteran Jim Rogers remarked that if he had to choose one asset for the next 10 to 15 years, it would be silver. Rogers noted that silver is still trading nearly 40% below its peak, making it a more attractive buy than gold, which is hovering around record levels.

Naveen Mathur, Director at Anand Rathi Shares and Stock Brokers, added a structural perspective. While acknowledging near-term corrections, he pointed to long-term industrial deficits and undervaluation as factors that could make silver a better-performing asset than gold over the next year.

Despite the optimism, silver has faced turbulence in recent sessions. ICICI Securities reported that silver prices fell over 6% last Friday, sliding below the $30 mark, after China imposed new tariffs on the U.S. and stronger-than-expected U.S. job data buoyed the dollar. However, they expect support around Rs 84,000 on MCX Silver (May contract) and a potential rebound toward Rs 89,500, unless it breaks decisively below Rs 84,000, which could push it lower toward Rs 82,000.

Additionally, ICICI pointed to the rising gold-silver ratio, now back above 100 for the first time since COVID, as an indication that silver is still underperforming gold. But historically, such high ratios have often marked bottoming phases for silver relative to gold, setting the stage for catch-up rallies.

Axis Securities also noted that COMEX silver fell over 13% last week, reaching an eight-week low. The decline was attributed to weakening industrial demand and global recession fears, amplified by Donald Trump’s tariff policies, which have raised trade tensions worldwide. However, they added a seasonal insight: in this particular week, silver has advanced 70% of the time, with an average gain of 1.4%.

With gold already at elevated levels, silver’s relatively low base, industrial growth outlook, and macroeconomic tailwinds make it a standout candidate for the next leg of the commodities rally. As volatility persists, many investors are beginning to see silver not just as an alternative to gold, but as a frontrunner in its own right.

(: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)