Silver prices have reached a record high, surpassing $71 per ounce. This year, the metal has risen by approximately 138%, significantly outperforming gold and emerging as one of the strongest performing real assets in the global market in 2025.
According to market data, silver's market capitalization is estimated at approximately $4 trillion. While the exact ranking varies depending on the calculation criteria, it is significant in that it has reached a size comparable to major global asset classes. During the same period, gold also reached a record high, but its annual growth rate was lower than that of silver.
The recent rise in precious metals is driven by macroeconomic changes. The US dollar has fallen by approximately 10% this year, its weakest level in years. Real interest rates are trending lower due to continued expectations of a key interest rate cut. This has diminished the appeal of cash and bonds, and real assets like gold and silver are emerging as alternatives.
Silver, unlike gold, stands out in that it relies heavily on industrial demand. Silver usage is steadily increasing across cutting-edge industries, including solar energy, electric vehicles, and semiconductors. This, coupled with financial market uncertainty, is also driving investment demand. Analysis suggests that the metal's structure, which simultaneously functions as an industrial metal and a safe-haven asset, is fueling price increases.
Some on Wall Street view the precious metals' strength as a temporary phenomenon. They predict that if accommodative monetary policy, geopolitical tensions, and asset market volatility persist, the preference for real assets could remain structural. This suggests that not only gold but also silver is being re-evaluated as a defensive asset within portfolios.
