Silver’s Breakneck Rally Shows No Sign of Cooling With $100 in Sight

The market has seen extreme moves in January. Since the start of the year, silver prices have climbed more than 30%, and over the past 12 months, they have been up more than 200%.

Part of the rise comes from long-standing supply shortages and rising demand from the renewable energy and electric vehicle industries. Political risks are also adding fuel. Tensions linked to Greenland and the growing risk of a trade dispute between the European Union and the United States are pushing more investors toward silver as a safe-haven asset.

With demand rising on several fronts, silver prices are now nearing $100 per ounce and could cross that level as early as this week.

Greenland, Tariffs, and Internal Disputes Driving Silver’s Price 

The dispute over Greenland remains limited to strong words for now, but the risk of escalation remains high. President Donald Trump has warned of higher tariffs on countries involved in the Greenland issue, while European Union officials have responded with threats of retaliation and possible delays to existing trade agreements. Even without concrete action, this standoff is enough to raise investor anxiety and push money toward safe-haven assets such as gold and silver.

Inside the US, markets are also watching two legal developments. One involves court challenges to the administration’s tariff policy, while the other concerns the potential removal of Lisa Cook from the Federal Reserve Board of Governors.

A strong market reaction would likely come if the Supreme Court of the United States questions the legality of the tariffs, as this would weaken a key US policy tool. At the same time, any successful legal effort to remove Cook could raise doubts about the independence of the Federal Reserve, reinforcing risk aversion and supporting continued demand for silver.

The issue of possible silver tariffs remains unresolved. Last year, tariff concerns triggered large movements of physical silver between trading hubs in Europe and the US. Even though Trump has recently suggested he may step back from imposing tariffs, uncertainty remains. Past experience shows how quickly the market can shift when mixed signals emerge, making it difficult to assess whether tariffs will ultimately be introduced.

In this kind of fast-moving environment, technical analysis becomes less reliable. Still, traders looking for entry points into the ongoing uptrend may want to watch the area around $84 per ounce, where the rising trendline aligns with a key support level.

The main short-term target remains $100 per ounce.

****Below are the key ways an InvestingPro subscription can enhance your stock market investing performance:

ProPicks AI: AI-managed stock picks every month, with several picks that have already taken off in November and in the long term.
Warren AI: Investing.com’s AI tool provides real-time market insights, advanced chart analysis, and personalized trading data to help traders make quick, data-driven decisions.
Fair Value: This feature aggregates 17 institutional-grade valuation models to cut through the noise and show you which stocks are overhyped, undervalued, or fairly priced.

1,200+ Financial Metrics at Your Fingertips: From debt ratios and profitability to analyst earnings revisions, you’ll have everything professional investors use to analyze stocks in one clean dashboard.

Institutional-Grade News & Market Insights: Stay ahead of market moves with exclusive headlines and data-driven analysis.

A Distraction-Free Research Experience: No pop-ups. No clutter. No ads. Just streamlined tools built for smart decision-making.

Not a Pro member yet?

Already an InvestingPro user? Then jump straight to the list of picks here.

Disclaimer: This article is written for informational purposes only. It is not intended to encourage the purchase of assets in any way, nor does it constitute a solicitation, offer, recommendation or suggestion to invest. I would like to remind you that all assets are evaluated from multiple perspectives and are highly risky, so any investment decision and the associated risk belong to the investor. We also do not provide any investment advisory services.