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Majority of Traders Favor Gold for 2025, Experts Bet on Silver’s Rise

$GLD $SLV $GC

#Gold #Silver #PreciousMetals #Commodities #Investing #Trading #RetailTraders #MarketAnalysis #EconomicOutlook #InflationHedge #MetalPrices #SafeHaven

The Kitco News Top Metals 2025 Survey reveals that more than half of retail traders remain bullish on gold, cementing its position as the top-performing metal in the coming years. Despite 2023 bringing periods of economic uncertainty, geopolitical instability, and inflationary pressures, gold’s steadfast reputation as a safe haven asset continued to attract investors. This sentiment appears unlikely to change, with retail traders forecasting gold’s resurgence in 2025 amidst potential economic turbulence. In parallel, spot gold prices currently linger near $1,900 per ounce, down slightly from their all-time highs earlier this year, but experts note that price corrections may offer favorable entry points for long-term investors. ETFs like $GLD (SPDR Gold Trust) mirror this trend, as inflows remain steady, signaling persistent confidence in gold’s outlook despite short-term fluctuations.

On the other hand, silver is increasingly gaining traction among analysts who see an underestimated growth potential for the metal. While it has often played the “shadow role” compared to gold, silver holds dual utility as both a precious and industrial metal, making it uniquely positioned for a broad range of market influences. As the global economy transitions towards green energy and technological advancements, demand for silver could surge, particularly for its use in solar panels, electrical components, and batteries. The potential for silver to bridge the price-performance gap with gold becomes even more compelling under this framework. Currently, silver prices hover around $23 per ounce, with ETFs like $SLV (iShares Silver Trust) showing moderate inflows. Analysts argue that under favorable conditions, silver might outperform in the latter half of 2025, turning heads among value-seeking investors.

The interplay between gold and silver underscores a broader narrative of how macroeconomic conditions shape commodity markets. With central banks remaining hesitant on monetary easing policies, inflationary risks continue to loom. Gold remains well-positioned as a hedge against inflation and currency devaluation, making it a cornerstone for defensive portfolios. Meanwhile, silver’s more volatile price action may appeal to risk-tolerant traders looking for leveraged upside gains. Recent dollar strength has momentarily subdued both metals, but should conditions ease, both assets could witness renewed buying activity. A weaker dollar or reduced interest rate hikes would likely lead to upward momentum for precious metals, given their historical inverse correlation with fiat currency strength.

Ultimately, retail traders and market experts appear divided between gold’s historically robust performance and silver’s latent potential for outsized returns. Retail’s favoring of gold suggests a market still wary of sudden downturns or geopolitical uncertainty, while analysts hint at silver’s growth story, particularly with expanding industrial applications. Both metals present compelling investment theses, and the divergence between them could provide diversified opportunities for portfolios. Investors weighing these options should remain vigilant about upcoming Federal Reserve actions, evolving supply-demand fundamentals, and global economic signals that may tip the scales in the metal markets.

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