Silver Price May Plunge 75% From Peak in Two Years, Experts Warn

Experts are forecasting a significant potential correction in silver prices, with some suggesting a drop of up to 75% from recent peaks within the next two years. This projection, reported by Mint, highlights the inherent volatility of the precious metal and the complex factors influencing its market. The original article from Mint (February 7, 2026) cites market experts who believe the recent rally in silver prices may have topped out, and current rebounds are merely 'dead-cat bounces'. Several factors are contributing to the current pressure on silver prices. Anuj Gupta, a SEBI-registered market expert, attributes the recent declines in MCX and COMEX silver rates to two primary reasons: easing US-Iran tensions and a strengthening US Dollar against global currencies. The initiation of nuclear talks between Iran and the US has led to the US Dollar gaining ground, while the reduction in geopolitical tensions has decreased the safe-haven demand for gold and silver, triggering profit-booking. Gupta notes that while prices saw a rebound towards the end of Friday's trading session, this was likely due to profit-booking in the US Dollar, with the US Dollar index still holding strong. Amit Goel of PACE 360 elaborates on the potential magnitude of the price drop, suggesting that silver prices could crash by 75% to 80% from peak levels of around $121/oz. He emphasizes that this decline is unlikely to be a one-sided fall, as seen during the rally. The white metal is expected to show resilience against selling pressure, with Friday's rebound being a potential 'dead-cat bounce'. Goel points out that silver failed to break above key resistance levels like $95/oz and slipped below the crucial support of $70/oz, reaching new recent lows near $63/oz. Historical parallels are drawn to explain the current market dynamics. Anuj Gupta references past instances of sharp crashes in silver prices after strong bull trends, such as the 1980 incident involving the Hunt Brothers, which led to significant price drops from around $49.50 to $11 per ounce after exchanges increased margin requirements. A similar scenario occurred in 2011 when silver rates fell by 75% after peaking near $48 per ounce. These historical events underscore the potential for rapid and substantial price reversals in the silver market. The article also touches upon the recent phenomenon of silver's market capitalization surpassing that of tech giant NVIDIA. While this highlights a growing investor preference for precious metals amid market uncertainties and concerns over tech stock valuations, it also underscores the speculative nature of recent price surges. Some reports from January 2026 indicated silver's market cap exceeding NVIDIA's, attributed to its role as an inflation hedge and industrial demand. However, the current expert outlook suggests a significant correction is more likely than a continued ascent. Current silver prices in India vary. As of February 7, 2026, reports indicate prices around ₹2,49,000 per kilogram on MCX, with other sources listing ₹2,85,000 per kilogram. Prices on MCX have recently fallen, with reports of an intraday low of ₹2,29,187 per kg on February 7, 2026. Earlier in the week, on February 5, 2026, MCX silver fell 9%, hitting an intraday low of ₹2,44,654 per kg. In international markets (COMEX), silver prices crashed over 16% to $73.415 per ounce on February 5, 2026. Despite the short-term bearish outlook, long-term industrial demand for silver remains a supportive factor. Its increasing use in green energy sectors, solar panels, electronics, and electric vehicles is expected to underpin demand. However, the current expert consensus points towards a period of significant price correction from the recent highs. Investors are advised to exercise caution and consider the historical volatility of silver.

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