Modern Australian
Men's Weekly

.

Silver vs. Gold: Octa Broker's Expert Take on the Future of Precious Metals

KUALA LUMPUR, MALAYSIA - Media OutReach Newswire - 14 March 2025 - Silver is attracting investor interest, with market analysts predicting a potential leap to $40 per troy ounce in 2025.

The metal is rising in global investment portfolios, providing stiff competition to gold's long reign over commodity markets. Kar Yong Ang, a financial market analyst at Octa Broker, explains why silver has a very good opportunity to record significant growth this year.

Octa Broker
Octa Broker

Current Market Conditions and Silver's Performance in 2024

Silver prices increased by 18% in 2024, outpacing the more modest increase of gold. The price was driven by inflationary pressures and stronger industrial demand, particularly in renewable energy uses. While gold is a classic safe-haven investment, silver's dual role as both an investment and industrial metal gives it a unique edge in volatile markets. Yet, risk management is crucial for avoiding unnecessary losses.

There are two major silver market growth drivers:

  • Industrial Demand: Silver's use in renewable energy, particularly solar panels, electronics, and EV manufacturing continues to expand, distinguishing it from gold, which primarily serves investment and jewellery purposes.
  • Macroeconomic Trends: While both silver and gold typically hedge against inflation, silver price drops can be more significant compared to gold in times of economic uncertainty. For example, during the COVID-19 crisis, silver experienced a significant negative return of –20.0%, while gold delivered a positive return of 5.1% in the same period.

Silver Price Forecasts for 2025: Can It Surpass Gold?

Silver is expected to outperform gold in the coming years, whereby limited supply will be countered by increasing industrial demand. The price of silver can even reach $40 per ounce sometime in 2025, given the robust demand. This growth potential creates a nice buying opportunity for traders. Nevertheless, market liquidity risks, rising interest rates, and changes in investors' sentiments, among other things, may affect the market negatively. What's more, the asset is far more sensitive to economic cycles compared to gold. In case a recession occurs, silver may drop in price more steeply than gold. Traders should also monitor the gold-silver ratio. If it's too high, investors may simultaneously sell gold and buy silver, assuming the ratio returns to its long-term average.

Those who consider opting for silver instead of gold should closely analyse both assets and compare their investment risks, nature, and potential profits. Here's a brief overview of their pros and cons.
  • Liquidity & Market Depth: While gold remains a more liquid asset, silver’s increasing institutional interest is narrowing this gap, so the difference in liquidity is minor.
  • Volatility & Risk: While silver experiences greater price swings than gold, its volatility presents significant profit-making opportunities for active traders who practice strict risk management.
  • Portfolio Diversification: Silver serves as both an inflation hedge and a strategic asset tied to industrial demand.

Traders can tap into the potential of both silver and gold using various trading platforms. These days, the choice of a platform is not limited to MT4 and MT5, and other solutions step up their offerings. For example, Octa broker' proprietary trading ecosystem, OctaTrader, offers CFDs on silver and gold. OctaTrader reports high trade volume for CFDs on gold this year despite the slackened interest towards the metal after Donald Trump's election win. According to the Octa analysts, the demand for silver on OctaTrader is currently quite high, leading to amplified liquidity and more profit opportunities.

‘Silver's long-term value is stable because of its underlying supply-demand dynamics. The metal is widely used in electronics, renewable energy, and medicine’, explains Kar Yong Ang. ‘The Silver Institute expects the total silver supply to increase by 3 percent and reach 1.05 ounces, an 11-year high. The demand is projected to remain at 1.20 billion ounces this year. Considering this, the demand is likely to outpace even the increasing supply. Although the demand for jewellery and silverware is to decline, gains are expected in the consumer electronics market and industrial fabrication. As a result, the deficit is likely to take place’, he adds.

Silver's strong market momentum, industrial applications, especially for renewable energy and solar panels in particular, and potential price appreciation make it an asset to watch in 2025. While volatility remains a factor, strategic investments in silver may yield higher returns compared to gold. Traders who aim to deal with the asset should address it carefully.

Firstly, keep an eye on inflation trends, central bank policies, and industrial demand to conduct fundamental analysis and identify factors of potential price swings. To manage risks, balance your portfolio and do not build an oversized position in any single asset. If your trading budget is limited, especially after you diversify your investments, you can access an increased balance through trading instruments like CFDs. Platforms like Octa broker provide flexible CFD trading options for silver, allowing traders to capitalise on short-term price movements.


Disclaimer: Trading involves risks and may not be suitable for all investors. Use your expertise wisely and evaluate all associated risks before making an investment decision.
Hashtag: #Octa

The issuer is solely responsible for the content of this announcement.

Octa

is an international CFD broker that has been providing online trading services worldwide since 2011. It offers commission-free access to financial markets and various services used by clients from 180 countries who have opened more than 52 million trading accounts. To help its clients reach their investment goals, Octa offers free educational webinars, articles, and analytical tools.The company is involved in a comprehensive network of charitable and humanitarian initiatives, including the improvement of educational infrastructure and short-notice relief projects supporting local communities.In Southeast Asia, Octa received the 'Best Trading Platform Malaysia 2024' and the 'Most Reliable Broker Asia 2023' awards from Brands and Business Magazine and International Global Forex Awards, respectively.

Pontoon Boats - The New Must-Have for Luxe Canal Homes

If you are living on a canal in Australia, you are already living the dream. But living near the water without a boat is like owning a horse without...

Perth Airport Transfers: Choosing the Right Service

Touching down in a new city can be exciting, but let's be honest, it can also be a bit stressful. After a long flight, the last thing you want to wo...

How to Save Smart: Cheapest Travel Insurance for Schengen Visa without Cutting Corners

Picture this: you’ve found a last-minute flight to Milan, your hotel booking comes with breakfast and a rooftop view, and your itinerary is ready ...

Keeping Lone and Remote Workers Safe: Employer Duties and Practical Solutions

In Australia, thousands of employees work alone, in remote locations, or in direct contact with the public every day. While these roles are critical...

How Your General Dentist Supports Your Smile Over a Lifetime

A healthy grin is more than just a desirable feature; it reflects overall health, well-being, and self-esteem. Our oral health needs evolve from chi...

A Brighter Smile in Sydney: Expert Cosmetic Dentists and Veneers Solutions

A confident smile can open doors, boost your self-esteem, and leave a lasting impression. In Sydney, more people than ever are turning to cosmetic den...

How To Keep Vase Flowers Fresh Through Australia’s Coldest Months

Winter flowers develop slowly, which gives them stronger structure and longer vase life Heat from indoor environments is the biggest threat to th...

Artificial Intelligence is Powering the Growth of Australian Telehealth Services

Many Australians have traditionally experienced difficulties in accessing timely and quality healthcare, especially those who live in rural or remot...

VR Training in Australia – Customer Service Risk Management

In today’s rapidly evolving workplaces, Australian organisations are turning to immersive learning tools like VR to handle specialised needs such ...

Powering Shepparton’s Businesses: Expert Commercial Electrical Services You Can Count On

When it comes to running a successful business, having reliable, compliant, and efficient electrical systems is non-negotiable. From small retail ou...

Maximise Efficiency: Cleaner Solar Panels for Optimal Performance

Solar panels are a smart investment in energy efficiency, sustainability, and long-term savings—especially here in Cairns, where the tropical sun ...

7 Common Air Conditioner Issues in Melbourne – And How to Fix Them

Image by freepik Living in Melbourne, we all know how unpredictable the weather can be. One moment it’s cold and windy, the next it’s a scorchin...

Powering Palm QLD with Reliable Electrical Solutions

Image by pvproductions on Freepik When it comes to finding a trustworthy electrician Palm QLD locals can count on, the team at East Coast Sparkies s...

The Smart Way to Grow Online: SEO Management Sydney Businesses Can Rely On

If you’re a Sydney-based business owner, you already know the digital space is crowded. But with the right strategy, you don’t need to shout the...

What Your Car Says About You: The Personality Behind the Vehicle

You can tell a lot about someone by the car they drive—or at least, that’s what people think. True Blue Mobile Mechanics reckon the car says a l...

The Confidence Curve: Why Boudoir Photography Is the Empowerment Trend You Didn’t Know You Needed

Boudoir photography has been quietly taking over social feeds, Pinterest boards, and personal milestones—and for good reason. It’s not just abou...

Understanding Level 2 Electricians: Why Sydney Residents Need Licenced Experts for Complex Electrical Work

When it comes to electrical work around the home or business, not all electricians are created equal. In Sydney, particularly when you're dealing wi...

Retirement Anchored in Model Boat Building for Waterford’s Doug Unsold

WATERFORD — When Doug Unsold sees his ship come in, it’s usually one he’s crafted with his own hands. The 67-year-old retiree from Waterford ...