The silver price remains 153% higher over the past 12 months, despite the recent sell-off, but can it go further this year?
According to the 2026 LBMA Precious Metals Forecast Survey, the average annual price expectation for 2026 is US$79.57 per ounce.
That's lower than the current silver price of US$82.50 per ounce, at the time of writing.
But remember, the US$79.57 is an average annual prediction.
Analysts expect the silver price to trade in a wide range week-to-week, month-to-month, over the next year.
Some analysts suggest the silver price could trade as high as US$160 per ounce at some point in 2026.
Image source: Getty Images
Tailwinds for silver
The tailwinds for the silver price include geopolitical risks, the debasement trade, and rising industrial usage due to the energy transition.
As a precious metal, silver is considered the 'poor cousin' of gold, but it's still seen as a safe-haven option, and it's cheaper, too.
That's why the silver price typically runs about the same time as the gold price, but with a lag.
When people want safe-haven investments, they turn to gold first. When gold gets expensive, they turn to silver.
That's why the silver price massively outpaced the gold price last year, lifting 147% versus 65%.
Precious metals have become more attractive to investors due to increased geopolitics risks and a weakening US dollar.
Silver is also an industrial metal that is experiencing higher demand than usual due to the energy transition.
It's a key input in solar panels, technological devices, electric vehicles, and data centres due to its superior conductivity to copper.
Meantime, supply is constrained because silver is typically only produced as a byproduct at copper, gold, lead, and zinc mines.
Limited supply amid growing demand prompted the US to add silver to its critical minerals list last November.
Analyst views on the silver price for 2026
Let's take a look at some of the predictions in the 2026 LBMA Precious Metals Forecast Survey.
Bruce Ikemizu from the Japan Bullion Market Association (JBMA) has one of the most ambitious price targets for the silver price.
JBMA is an industry body that oversees precious metals trading in Japan.
Ikemizu predicts that the silver price could trade as high as US$160 per ounce and as low as US$65 per ounce this year.
Interestingly, the silver price fell from a record US$121 per ounce on 29 January to a low of US$67 per ounce last week during the sell-off.
Ikemizu's average annual price prediction for the year is US$120 per ounce.
The analyst comments:
In addition to the political and fiscal conditions which apply to gold, silver has its own reasons to reach much higher levels: supply and demand.
It's been more than six years of supply shortages and finally we have seen an extreme move in the liquidity of silver in 2025 which could flare up any time again in 2026 as the lease rate remains at a much higher level than gold.
Political moves regarding silver, critical mineral status by the U.S. and export limitation by China add the fuel to the liquidity problem.
The liquidity problem is getting larger and that only leads to higher silver prices.
Julia Du of Industrial and Commercial Bank of China (ICBC), which is the largest bank in the world by total asset value, also has an optimistic view on the silver price.
Du predicts the silver price may trade as high as US$150 per ounce, and as low as US$62 per ounce during intermittent pullbacks this year.
Her annual average tip is US$125 per ounce.
Du expects sharp fluctuations in the silver price ahead, with periods of profit-taking sending the price lower, as we've just recently seen.
She says:
I expect silver to deliver a bullish performance in 2026, supported by the same macro drivers as gold: persistent geopolitical tensions, strong safe-haven demand, and continued Fed rate cuts.
Silver's smaller market size and lower entry cost make it more volatile, attracting investors seeking alternatives to expensive gold.
Structural supply deficits – driven by robust photovoltaic and industrial demand – combined with rising jewellery and investment purchases, will amplify price swings.
Regional dislocations from potential U.S. tariffs could further tighten supply and fuel speculative spikes.
Caroline Bain from Bain Commodities has one of the more bearish outlooks on the silver price.
She tips the silver price to trade at a peak of US$85 per ounce and a trough of US$45 per ounce throughout the year.
Her average annual price prediction is US$63.50 per ounce.
Bain said:
The price of gold is expected to fall in the second half of 2026, and the silver price is likely to fall by more in percentage terms.
The smaller, less liquid, silver market typically overshoots on both the upside and downside.
That said, the price will hold up better than if the market were solely driven by its high-beta relationship with gold.
There is strong industrial demand for silver in key growth sectors including electronics, renewable energy, automotives and data centres, which will offer underlying support to prices.
China has also started restricting exports and the market is in a structural deficit. Physical stocks are low.
How are ASX silver shares performing today?
ASX silver stocks are a mixed bag on Thursday.
Diversified miner, South32 Ltd (ASX: S32), which is one of Australia's top silver producers, is up 5.7% to $4.85 per share.
Sun Silver Ltd (ASX: SS1) shares are up 2.8% to $2.01. (By the way, one expert tips a 235% rise over the next 12 months.)
Unico Silver Ltd (ASX: USL) shares are up 6% to 89 cents.
Iltani Resources Ltd (ASX: ILT) shares are 5.9% higher at 54 cents.
Silver Mines Ltd (ASX: SVL) shares are down 4.2% to 23 cents and Investigator Silver Ltd (ASX: IVR) is down 6.4% to 12 cents.
