In the world of commodity and precious metals trading, speculators have long debated whether or not the silver price could reach the milestone of US$100 per ounce. In the wake of the COVID-19 pandemic, demand for safe haven investments has driven the price of silver to unprecedented heights, leading some investors to wonder if it is possible for the price of silver to hit US$100 per ounce by 2022 or 2023.
It is no secret that silver prices have had a volatile history. Historically, silver prices have been inextricably tied to gold’s pricing patterns, creating periods of strong supply and demand, but also large sell-offs. With gold prices currently near record highs, silver has followed alongside, reaching its highest prices since 2014 when adjusted for inflation.
What’s more, the recent surge in silver prices is being driven in part by the increasing risks of inflation as a result of the world’s economic recovery from the pandemic. As investors look for ways to hedge against inflation, they are flocking to commodities like silver as a safe haven investment. Additionally, the demand for industrial and retail consumption of silver is predicted to increase as we continue to transition to a greener, more energy-efficient economy.
While there are a number of factors to consider, it is certainly not out of the realm of possibility that the silver price could hit US$100 per ounce by the end of 2023. With global demand for silver continuing to rise, investor confidence in silver’s ability to maintain its value over the long haul, and the potential for the price to increase in response to inflation, it is likely that the price of silver could hit this benchmark by next year. Of course, the only way to know for sure is to watch the market closely and make an educated investment decision.