Gold And Silver: After Historic 2025 Rally, 2026 Outlook Signals Gains With Volatility

Gold and silver delivered blockbuster performances in 2025, marking one of the strongest rallies in recent history.

Silver stole the spotlight, surging nearly 130% during the year, while gold posted exceptional gains driven by geopolitical uncertainty, sustained ETF inflows, and central bank buying.

As investors look ahead to 2026, both metals retain upside potential—but with heightened volatility and risks of sharp corrections.

Gold’s structural drivers, geopolitical risks, central bank accumulation, and ETF demand, remain intact, providing a firm long-term foundation. However, analysts caution against chasing momentum blindly.

“While the fundamental backdrop remains strong, some catalysts may gradually mature, leading to intermittent price or time-based corrections,” according to Amit Kedia Advisories.

Gold retains 10% to 12% upside, with prices expected to approach Rs 1,50,000 per 10 grams and international levels near $4,820. On the downside, support lies around USD 3,420, with a deeper 15% to 20% correction not entirely ruled out if risk sentiment improves or ETF flows reverse.

For investors, experts recommend continuing exposure through Gold ETFs and adopting a disciplined SIP approach to manage volatility.

Silver’s rally in 2025 reaffirmed its reputation for momentum-driven moves, but history suggests caution.

“Corrections of 28% to 30% cannot be ruled out, particularly if ETF-driven demand weakens,” according to Kedia Advisory.

Despite this, silver carries 20% to 25% upside potential, with MCX prices seen in the Rs 2,45,000 to Rs 2,50,000 range and global prices around $72.5–74.

Structurally, silver’s role as a “digital-age metal” is strengthening, supported by industrial demand from clean energy, solar, data centres, and electrification. If supply constraints persist, the long-term target of $100 remains realistic.

Both metals offer portfolio diversification benefits, but the path ahead will be volatile.

“Investors should continue to hold gold and add exposure in a disciplined manner,” the analyst emphasised. Experts advise holding gold for stability and adding silver selectively for growth, while avoiding FOMO-driven bets.