TLDR
- Gold market cap hits $31.1 trillion to reclaim number one position globally
- Silver market cap briefly exceeded Nvidia at $4.55 trillion after price surged to $82.70 per ounce
- Silver gained 176% in 2025 compared to gold’s 70.3% return driven by supply shortage
- Global silver demand at 1.2 billion ounces exceeds supply of 1 billion ounces for fifth straight year
- Bitcoin price action mirrors silver’s cup-and-handle pattern that preceded breakout rally
Gold reclaimed the top spot by market capitalization at $31.1 trillion as investors sought safe-haven assets. Silver made headlines by briefly surpassing Nvidia to become the second-largest asset by market cap.
Silver prices reached $82.70 per ounce during Asian trading hours before settling at $80.80. The precious metal now trades positions with Nvidia for second place. Bitcoin ranks eighth by market capitalization.
Silver prices gained 176% throughout 2025 while gold rose 70.3%. Year-to-date in 2026, silver jumped nearly 12% compared to gold’s 3.2% gain. Economist Peter Schiff noted this marks silver’s best start to any year on record.
Silver Supply Shortage Drives Price Higher
Silver demand comes from two key sources. Investors purchase silver as protection against economic uncertainty. Manufacturers require silver for electronics, solar panels, AI hardware, and electric vehicles.
Industrial use accounts for approximately half of worldwide silver consumption. The Silver Institute reports the market experienced its fifth consecutive annual deficit in 2025. Global demand stands at 1.2 billion ounces annually while mining and recycling produce only 1 billion ounces.
The persistent 200 million ounce shortage supports higher prices. Analyst Sunil Reddy predicts “$100 silver is now firmly on the table for January.” Wall Street Mav identified the supply-demand gap as the main catalyst.
Estimates suggest solar manufacturers would operate at a loss if silver reaches $135 per ounce. Higher prices may eventually trigger demand destruction in industrial applications.
Bitcoin Price Pattern Matches Silver Rally Setup
Crypto analysts are comparing silver’s rally to Bitcoin price movements. Analyst Merlijn The Trader identified that silver completed a multi-year cup-and-handle formation before its surge.
Bitcoin charts show a similar cup-and-handle pattern developing on weekly timeframes. The analyst stated Bitcoin could break out sharply when this pattern completes. Crypto Rover pointed out that gold and silver rallied after breaking out from monthly accumulation phases. Bitcoin has not confirmed a breakout yet but could follow with a catch-up rally.
Clear Street managing director Owen Lau said Federal Reserve monetary policy in 2026 represents “one of the key catalysts for the crypto space.” Lower interest rates generally push investors toward risk assets like cryptocurrencies.
Traders are monitoring for potential capital flows from precious metals into Bitcoin. The timing of any shift from gold and silver into crypto assets remains unclear.
