Why Silver Is Booming in 2021
The silver market is hot and on a roll. In May 2021, silver was up more than 70% from last year and was trading at a high of 27 an ounce. Demand for the white metal is being driven by industrial uses of the metal as well as its jewelry demand. Even though economic uncertainty could slow consumption, a lot of analysts are bullish on the metal’s prospects.
Take a look at some of the reasons why the precious metal is booming in 2021 and why the silver investment outlook is looking great for 2022.
The Many Applications of Silver
From photography to electronics , jewelry, and coins, silver is essential to numerous everyday products. It is one of the most reliable conductive materials found on earth and is typically used as a substitute for copper or for cases in which copper is not efficient.
It has a number of industrial uses and is used in the manufacturing of water purification systems, electroplating, robotics, dentistry, optics, and much more. It is also increasingly being used in the consumer electronics space thanks to the adoption of Internet of things and 5G technology. The demand for silver from this sector alone is expected to increase by 7 percent to 300 Moz in 2021. While the industrial demand is projected to increase by 9% in 2021 to 510 Moz.
Growing Part in the Green Revolution
The demand for silver is currently dominated by its photovoltaic (PV) applications such as the production of solar cells. As the world is shifting to greener energy to combat climate change, the demand for silver is expected to keep on rising.
Silver Supply Concerns
Since the recent emergence of the omicron variant, mines are uncertain about the status of their operations and this could end up affecting global supply. The reduced supply can push the price of this commodity higher.
Invest in Silver Today
Silver is one of the few commodities that is experiencing a resurgence in interest and demand. At Orion Metal Exchange we help investors capitalize on these demand trends and grow their wealth. We offer the highest quality silver, gold, palladium bars, platinum bullion bars, as well as gold and silver IRAs to our customers. We also give recommendations on secure vault storage for gold and silver.