'People had no chance to exit': CEO recalls 2011 silver crash amid fresh rally
Silver was down $48 to $33 in just 5 sessions. That's how quick the move was. the CEO recalled.
- Oct 19, 2025,
- Updated Oct 19, 2025 9:01 AM IST
Amid a record rally in silver, Samarth Wealth Management founder and CEO Shivaji Vitthalrao has reminded investors of the 2011 collapse that caught traders off guard.
Silver prices, which had surged to Rs 1,77,000 per kg ahead of Dhanteras, slipped sharply to Rs 1,70,000 on Saturday, even as consumer demand remained strong, with coin sales up 35–40 per cent year-on-year and total value more than doubling.
Vitthalrao, in a detailed social-media post on Friday, cautioned investors against getting carried away by price momentum. "Does anyone remember 2011 fall in #Silver? No one had time to exit, you know why?" he wrote on X.
Recalling his experience as a trader during the 2011 crash, he said, "Let me tell you the story as I was a trader in Silver too, back then. 29.04.2011, it was Friday, Silver closed at $48. Everything was great, it was near or above 1980 highs."
He continued, "02.05.2011, Monday morning, 3 or 4 am Osama Bin Laden was killed, and news was out early in the morning. People had no chance to exit in MCX as it opened 4% gap down. I called up my mentor @entrepreneur987 and discussed the consequences."
"Silver down $48 to $33 in just 5 sessions. That's how quick the move was. I remember many brokers and sub-brokers gone bust as clients defaulted from payments due to losses. No proper risk management. In fact, the heads of the broking companies had to visit clients and sub-brokers' houses in Bangalore to get the payments. It took them 2–3 years to recover from this chaos," he recalled.
Vitthalrao also pointed to a second crash later that year: "Another crack in September 2011 — silver dropped from $44 to $26 in 15 sessions.”
He warned that traders today may be underestimating how volatile the metal can be. "People have not seen how quickly this commodity changes its color. Today, 170k to 153k, that’s 17,000pts in a single day."
Citing a 45-year price pattern, Vitthalrao advised investors to remain disciplined. "Always remember the rule — any stock/sector/index retest its previous highs for the first time after many, many years, always book profits. It works 7/10 times, does not matter if you fall in 30% misses but you get right in 70%."
"It's always better to be safe than getting caught by chasing the last few %. Have patience, never chase after a euphoric move. Find the next 40-50%. There is always a 'New Bull Market somewhere'. Just find that," he said.
Amid a record rally in silver, Samarth Wealth Management founder and CEO Shivaji Vitthalrao has reminded investors of the 2011 collapse that caught traders off guard.
Silver prices, which had surged to Rs 1,77,000 per kg ahead of Dhanteras, slipped sharply to Rs 1,70,000 on Saturday, even as consumer demand remained strong, with coin sales up 35–40 per cent year-on-year and total value more than doubling.
Vitthalrao, in a detailed social-media post on Friday, cautioned investors against getting carried away by price momentum. "Does anyone remember 2011 fall in #Silver? No one had time to exit, you know why?" he wrote on X.
Recalling his experience as a trader during the 2011 crash, he said, "Let me tell you the story as I was a trader in Silver too, back then. 29.04.2011, it was Friday, Silver closed at $48. Everything was great, it was near or above 1980 highs."
He continued, "02.05.2011, Monday morning, 3 or 4 am Osama Bin Laden was killed, and news was out early in the morning. People had no chance to exit in MCX as it opened 4% gap down. I called up my mentor @entrepreneur987 and discussed the consequences."
"Silver down $48 to $33 in just 5 sessions. That's how quick the move was. I remember many brokers and sub-brokers gone bust as clients defaulted from payments due to losses. No proper risk management. In fact, the heads of the broking companies had to visit clients and sub-brokers' houses in Bangalore to get the payments. It took them 2–3 years to recover from this chaos," he recalled.
Vitthalrao also pointed to a second crash later that year: "Another crack in September 2011 — silver dropped from $44 to $26 in 15 sessions.”
He warned that traders today may be underestimating how volatile the metal can be. "People have not seen how quickly this commodity changes its color. Today, 170k to 153k, that’s 17,000pts in a single day."
Citing a 45-year price pattern, Vitthalrao advised investors to remain disciplined. "Always remember the rule — any stock/sector/index retest its previous highs for the first time after many, many years, always book profits. It works 7/10 times, does not matter if you fall in 30% misses but you get right in 70%."
"It's always better to be safe than getting caught by chasing the last few %. Have patience, never chase after a euphoric move. Find the next 40-50%. There is always a 'New Bull Market somewhere'. Just find that," he said.