Silver prices hit record highs as demand from EVs, solar, data centres rises; what lies ahead in 2026
Silver has doubled in 2025, rocketing from $50 to $61 per ounce — and from Rs 1,58,000 to Rs 1,90,000 per kg — in barely 12 trading sessions. Experts said as the metal heads into 2026, its fundamentals and technicals still look firmly supportive. But analysts warn that caution and careful entry strategies are essential.
- Dec 10, 2025,
- Updated Dec 10, 2025 4:33 PM IST
Silver prices: Demand for silver is set to strengthen further as consumption from crucial technology-led sectors accelerates, the Silver Institute said in its latest report. Silver prices climbed 2% to hit a fresh record near Rs 1,92,000 per kg on the MCX in intraday trade on Wednesday, December 10, tracking a similar uptrend in gold. MCX silver March futures touched Rs 1,91,800 per kg, while MCX gold February futures hit Rs 1,30,502 per 10 grams earlier in the day.
Spot silver has surged 108% this year, while spot gold is up 68%. Silver, which was Rs 85,851 per kg on December 31 last year, touched Rs 1,78,861 per kg on December 9. Domestic spot gold rose from Rs 75,913 per 10 grams to Rs 1,27,762 over the same period.
Solar energy, EVs, data centres
The Silver Institute said that accelerating the adoption of solar energy, electric vehicles (EVs) and charging networks, data centres, and emerging AI infrastructure will drive industrial silver demand through 2030. “Silver’s superior electrical and thermal conductivity is becoming increasingly essential to the technological transformation shaping the global economy,” the report noted.
Solar photovoltaic (PV) remains one of the fastest-growing applications for silver. While technological advances have reduced silver loadings per cell, overall installation growth continues to support robust demand. The Institute added that declining subsidies in some nations may be offset by aggressive renewable-energy targets in others.
The EV market is another key growth driver. EVs use materially more silver than internal-combustion vehicles—primarily in battery management systems, power electronics, charging components, and electrical contacts. “Battery-electric vehicles consume, on average, 67–79% more silver than internal combustion vehicles, with roughly 25–50 grams of silver per EV,” the report said. Automotive silver demand is expected to grow at a 3.4% CAGR from 2025 to 2031, with EVs overtaking ICE vehicles as the primary demand source by 2027 and accounting for 59% of automotive silver demand by 2031.
Rising digital infrastructure is also boosting consumption. The Institute estimates global IT power capacity has surged from 0.93 GW in 2000 to nearly 50 GW in 2025, a 5,252% jump, which directly translates into increased demand for silver-intensive hardware. Governments in the US, UK, Europe, and China have introduced tax incentives, grants, and fast-track approvals to attract data-centre investment, strengthening demand for silver in high-performance computing, cloud, and AI ecosystems.
Silver outlook
According to Rahul Kalantri, VP–Commodities at Mehta Equities, silver has delivered a remarkable 100% return in 2025, rising from $50 to $61 per troy ounce—and from Rs 1,58,000 to Rs 1,90,000 per kg — in just 12 trading sessions. This rally, he said, was propelled by silver’s addition to the US critical metals list, strong ETF inflows, rising central bank buying, booming data-centre demand, and an existing supply deficit.
The gold–silver ratio has fallen sharply from 107 in April to 68.66, signalling improving momentum for silver. With the ratio inching toward 62.50, last seen post-pandemic, the trend points to further upside.
As silver heads into 2026, both fundamentals and technical indicators remain supportive, though Kalantri advises caution after such steep gains. Long-term investors may continue holding, but new investors should avoid chasing prices and instead accumulate on meaningful dips, he said.
Actionable ranges:
Kalantri said Silver is expected to trade with a bullish bias between $48.40–75.80 per troy ounce.
Support: $54.20, $47.10
Resistance: $72.20, $76.80
On the MCX:
Support: Rs 1,65,400, Rs 1,51,000
Resistance: Rs 2,22,700, Rs 2,37,300
Silver prices: Demand for silver is set to strengthen further as consumption from crucial technology-led sectors accelerates, the Silver Institute said in its latest report. Silver prices climbed 2% to hit a fresh record near Rs 1,92,000 per kg on the MCX in intraday trade on Wednesday, December 10, tracking a similar uptrend in gold. MCX silver March futures touched Rs 1,91,800 per kg, while MCX gold February futures hit Rs 1,30,502 per 10 grams earlier in the day.
Spot silver has surged 108% this year, while spot gold is up 68%. Silver, which was Rs 85,851 per kg on December 31 last year, touched Rs 1,78,861 per kg on December 9. Domestic spot gold rose from Rs 75,913 per 10 grams to Rs 1,27,762 over the same period.
Solar energy, EVs, data centres
The Silver Institute said that accelerating the adoption of solar energy, electric vehicles (EVs) and charging networks, data centres, and emerging AI infrastructure will drive industrial silver demand through 2030. “Silver’s superior electrical and thermal conductivity is becoming increasingly essential to the technological transformation shaping the global economy,” the report noted.
Solar photovoltaic (PV) remains one of the fastest-growing applications for silver. While technological advances have reduced silver loadings per cell, overall installation growth continues to support robust demand. The Institute added that declining subsidies in some nations may be offset by aggressive renewable-energy targets in others.
The EV market is another key growth driver. EVs use materially more silver than internal-combustion vehicles—primarily in battery management systems, power electronics, charging components, and electrical contacts. “Battery-electric vehicles consume, on average, 67–79% more silver than internal combustion vehicles, with roughly 25–50 grams of silver per EV,” the report said. Automotive silver demand is expected to grow at a 3.4% CAGR from 2025 to 2031, with EVs overtaking ICE vehicles as the primary demand source by 2027 and accounting for 59% of automotive silver demand by 2031.
Rising digital infrastructure is also boosting consumption. The Institute estimates global IT power capacity has surged from 0.93 GW in 2000 to nearly 50 GW in 2025, a 5,252% jump, which directly translates into increased demand for silver-intensive hardware. Governments in the US, UK, Europe, and China have introduced tax incentives, grants, and fast-track approvals to attract data-centre investment, strengthening demand for silver in high-performance computing, cloud, and AI ecosystems.
Silver outlook
According to Rahul Kalantri, VP–Commodities at Mehta Equities, silver has delivered a remarkable 100% return in 2025, rising from $50 to $61 per troy ounce—and from Rs 1,58,000 to Rs 1,90,000 per kg — in just 12 trading sessions. This rally, he said, was propelled by silver’s addition to the US critical metals list, strong ETF inflows, rising central bank buying, booming data-centre demand, and an existing supply deficit.
The gold–silver ratio has fallen sharply from 107 in April to 68.66, signalling improving momentum for silver. With the ratio inching toward 62.50, last seen post-pandemic, the trend points to further upside.
As silver heads into 2026, both fundamentals and technical indicators remain supportive, though Kalantri advises caution after such steep gains. Long-term investors may continue holding, but new investors should avoid chasing prices and instead accumulate on meaningful dips, he said.
Actionable ranges:
Kalantri said Silver is expected to trade with a bullish bias between $48.40–75.80 per troy ounce.
Support: $54.20, $47.10
Resistance: $72.20, $76.80
On the MCX:
Support: Rs 1,65,400, Rs 1,51,000
Resistance: Rs 2,22,700, Rs 2,37,300