While both gold and silver have attractive features, gold is the better investment for the average precious metals investor. ... This is because silver has many industrial uses. As such, silver can be attractive during down cycles when the price of the metal is cheap.
But, if we compare gold and silver investment, then silver is considered to be a lot more useful metal than gold. ... Price of gold has always trades at exorbitant prices because of the huge imbalance in its demand and supply. The global trend and brand name of gold also contribute in its unreasonably high pricing.
The main dangers of investing in silver are that you could physically lose items like silver coins and bars and that the value can decline with changes in the market.
Silver will rise to $60 within the year of 2024, $70 in 2026, $75 in 2027, $80 in 2028, $90 in 2029 and $100 in 2031.
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Silver price stood at $27.45 per troy ounce.
| Year | 2030 |
|---|---|
| Mid-Year | $91.94 |
| Year-End | $95.02 |
| Tod/End,% | +246% |
As for investing in 2020, investors believe silver is a good option. Silver may be slow to start, but when it starts growing it will accelerate. In the past silver has spiked above gold and investors believe silver will do the same and 2020.
The price of an ounce of silver will rise in a manner that's inversely proportional to the value of the dollar. If the value of the dollar collapses to zero, the price of an ounce of silver will have to be recalibrated to use a different pricing mechanism. It just cannot go to infinity.
Silver price unlikely to hit $50 in 2021 but analysts still see potential to outshine gold. Share this article: Kitco News has launched its 2021 Outlook, which offers the most comprehensive coverage of precious metals markets in the new year.
Silver is seen as a safe haven investment in uncertain times, a hedge against inflation and stocks. Silver's use as an industrial metal in many fields also affects its price performance and outlook. Silver is cheaper than gold, but more thinly traded, making it more volatile and illiquid.
With the gold market expected to be relatively tame through 2021, the LBMA said it expects all eyes to be on silver. Precious metals analysts expect silver prices to average $28.50 an ounce this year, an increase of 38% from the 2020 average price and up 8% from the average price since the first half of January.
“The outlook for the silver price in 2021 remains exceptionally encouraging, with the annual average price projected to rise by 46 percent to ... $30,” it said in a statement. “Given silver's smaller market and the increased price volatility this can generate, we expect silver to comfortably outperform gold this year.”
While silver is mined at eight times the rate of gold, remember: Gold is currently over 70 times more valuable than silver on an ounce-for-ounce basis, so the overall silver market is worth just a fraction of the gold market.
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