Silver Price Crash: Silver prices surprised investors on Monday. Silver, which has been continuously making new records since last week, touched the level of Rs 2.5 lakh per kg, but shortly after that, a huge fall of more than Rs 21,000 was recorded in an hour. On the Multi Commodity Exchange (MCX), silver for delivery in March 2026 slipped to Rs 2,33,120 per kg. This sudden reversal created a stir in the market.
When the market opened this morning, the price of silver was trading above Rs 2.50 lakh due to which it was being speculated that it may increase further but due to three big reasons the shine of silver has reduced.
This is the main reason behind the huge decline
On Monday, silver prices crossed $82 an ounce in the international market for the first time but later fell below the $75 level due to profit-booking and expectations of a peace deal between US President Donald Trump and Ukrainian President Volodymyr Zelensky. Trump said on Sunday that he and Zelensky were getting very close to an agreement to end the war in Ukraine. This news brought relief to investors and reduced demand for metals considered safe investments.
What do the experts say?
It is noteworthy that silver has given tremendous returns in the last one year. The price of silver in December 2024 was around Rs 90 lakh per kg. From where the price has jumped by more than 150%. On Monday, the price of silver reached Rs 254000 per kg on MCX.
Experts say that the price of silver is increasing due to many reasons. The demand for silver is increasing due to surge in industrial demand, increasing interest of investors towards safe assets and global economic uncertainty. The increasing demand for silver, especially in green energy technology, electric vehicles and solar panels, has helped the prices rise.
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