Silver has had a blockbuster start to 2025—breaking past the $35 per ounce resistance level for the first time in over a decade and briefly hitting $38. As of mid-year, silver is closing in on the $48 high of 2011 and even edging toward the all-time record of $49 set in 1980.
This isn’t just noise—silver’s momentum is being driven by a combination of powerful macroeconomic forces, structural deficits, and rising investment demand. At Indigo Precious Metals, we believe silver is poised for continued strength, offering investors both defensive protection and long-term growth potential.
Silver Shines on Dual Demand Fronts
Silver plays a unique dual role—as both a trusted monetary metal and a high-demand industrial commodity. That rare status is working strongly in its favor right now.
In the first half of 2025, silver prices rose nearly 25%, building on 2024’s 21.46% surge. These back-to-back gains are being driven by a potent combination: persistent supply shortfalls, surging demand from green technologies, and increased buying from retail investors, especially in Asia and North America.
What’s causing the supply strain? Silver mine production has declined 7% since 2016, even as demand has soared. Today, silver is essential to technologies powering global electrification—solar panels, electric vehicles, 5G networks, and next-gen consumer electronics.
Want to take advantage of silver’s breakout potential? Explore our full range of physical silver bars and coins at Indigo Precious Metals.
Global Silver Deficit: A Structural Reality
The global silver market has now been in a structural deficit for five consecutive years. From 2021 through 2025, the cumulative shortfall has reached nearly 800 million ounces. Demand—especially from electronics and solar photovoltaic (PV) production—continues to rise sharply.
Silver is the most electrically conductive metal, making it indispensable in applications like:
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Solar cells
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Automotive sensors and circuitry
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Smartphones and wearables
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Power grids and advanced infrastructure
Solar PV alone accounted for 17% of global silver demand in 2024. Despite efficiency improvements, demand for PV-grade silver remains robust, especially as China, the world’s largest solar producer, continues to expand its capacity at a rapid clip.
Investment Demand Adds Further Pressure
Institutional and retail investors are also returning to silver in a big way. Exchange-traded products (ETPs) backed by physical silver saw inflows of over 95 million ounces in the first half of 2025 alone. This silver is effectively removed from available supply, tightening the market even further.
Since 2019, over 1.1 billion ounces of silver have been absorbed by ETPs and market balance deficits—a staggering shift that highlights just how little unallocated, freely traded silver remains.
Secure your silver now with fully allocated, insured storage through Indigo Precious Metals. Our vaulting facilities in Singapore offer peace of mind for long-term investors.
Silver’s Discount to Gold Presents an Opportunity
Historically, the gold-to-silver price ratio has averaged around 67:1. Today, that ratio stands at 91:1—making silver deeply undervalued relative to gold. Meanwhile, silver is mined at a physical ratio of just 7:1 compared to gold, underscoring the supply imbalance.
While gold’s price is largely influenced by central banks and institutional flows, silver’s pricing is far more sensitive to retail investment. And with available inventories already strained, even modest new demand can create major upward pressure on prices.
This dynamic sets the stage for what analysts call a potential “silver squeeze”—a situation where demand far outpaces deliverable supply, triggering rapid price appreciation.
Looking Ahead: Silver’s Upside Remains Intact
With inflation concerns, currency devaluation, and geopolitical risks on the rise, investors are increasingly turning to hard assets like silver. And historically, silver has outperformed gold during bull markets—thanks to its smaller market size, higher volatility, and industrial tailwinds.
In fact, during past precious metals booms, silver's rally has often been twice as large as gold’s. That kind of explosive upside, combined with deepening structural deficits, makes silver a compelling choice for both new and seasoned investors.
Visit www.indigopreciousmetals.com to view our selection of LBMA-approved silver bars and investment-grade coins.
Why Invest in Silver with Indigo Precious Metals?
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Direct ownership of physical bullion
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Competitive pricing on silver coins and bars
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Allocated, fully insured storage in world-class vaults
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Discreet, private, and secure transactions
Whether you're diversifying your portfolio or seeking a hedge against global uncertainty, silver is shaping up to be one of 2025’s standout performers—and Indigo Precious Metals is your trusted partner to invest with confidence.