Peter Krauth, publisher of Silver Stock Investor, and author of the best-selling book The Great Silver Bull, recently noted in an interview on NAI 500’s Metal 100 program that $30 per ounce which used to be the ceiling for the price of silver, will be the new floor and strong support for the price of silver from now on.
Spot silver was trading at $29.462 per ounce by Friday’s (Dec. 20) close, up 1.50 percent.
According to Kitco News’ annual silver survey, retail investors hold a strong belief in rising silver prices in 2025, with nearly half expecting silver to trade above $40 an ounce in 2025. Meanwhile, large banks and industry experts generally expect silver prices to continue to strengthen.
Ole Hansen, head of commodities strategy at Saxo Bank, said that overall, silver is still likely to outperform gold in 2025. He noted that silver hit a 12-year high in 2024. Considering that silver has both investment and industrial demand, the forecast is that the gold-to-silver ratio could fall next year, from around 87 currently to around 75 earlier this year. This means that if gold reaches the forecasted $3,000 per ounce (up 13%), then silver could reach $40 per ounce (up more than 25%).
Daniel Ghali, senior commodity strategist at TD Securities, believes that gold’s recent price is likely forming a top, while silver is in a favorable position for further gains.
Carsten Fritsch, precious metals analyst at Commerzbank, said that the Fed’s easing cycle has supported investment demand for gold and increased silver’s investment appeal this year, as evidenced by silver-backed exchange-traded fund (ETF) inflows.
Looking ahead, Fritsch noted that analysts expect a supply shortage again in 2025, which will support the long-term price outlook for the precious metal. The price of silver is expected to rise to $32 per ounce by the middle of next year and $33 by the end of 2025.
The election of Trump and the threat of tariffs is a setback for silver in the short term, but there are still strong drivers for the gray metal to support price growth through 2025, said Michael DiRienzo, president and CEO of the Silver Institute. Silver remains a valuable resource and the silver market has experienced a supply gap for the fourth consecutive year. As the green energy transition and electrification of the global economy drive up industrial demand, silver remains well supported in the long term.
Analysts at Heraeus Precious Metals expect silver to remain historically undervalued relative to gold, despite the fact that it has risen ahead of gold this year, as the elevated gold-to-silver ratio suggests. Silver tends to outperform gold in the later stages of a bull market, and a rally back to its nearly 27-year average ratio of 67 would mean a silver price of $40 an ounce.
Heraeus predicts that the spot price of silver will fluctuate between $28 an ounce and $40 an ounce in 2025.
Damian Nowiszewski, an independent metals analyst, noted that the biggest question facing precious metals traders heading into 2025 is whether silver’s long-term uptrend can withstand short-term price pressure. Silver remains in a long-term uptrend that has been in place since April 2020. Despite occasional pullbacks, the overall trend has been higher, with recent price action reflecting a scramble around key resistance levels.
