An ounce of gold is now worth more than 100 times an ounce of silver, a rare imbalance only seen twice over the past century — and analysts say it’s flashing a buy signal for silver.
In 2025, gold has emerged as the undisputed leader among global asset classes, soaring to new heights while silver remains notably behind, widening a gap that few expect to last.
Prices of the yellow metal — tracked by the SPDR Gold Trust GLD — surged to $3,500 per ounce this week, notching fresh all-time highs and delivering nearly 30% in year-to-date gains.
Silver, on the other hand, has lagged well behind. The iShares Silver Trust SLV hovered at $33.50 per ounce, still 33% below its 2011 peak of $50.
Despite the stark divergence, analysts say this imbalance is the exception, not the rule. Most expect the gold-to-silver ratio to revert sharply, implying silver is primed to outperform in the next leg of the precious metals rally.
Could Silver Stage A Remarkable Comeback?
Goldmoney.com founder James Turk wrote on social media X that a gold-to-silver ratio of 100 is an anomaly and typically marks the beginning of silver’s comeback.
“A level of 100 is a rare occurrence in historical context, after which the ratio falls quickly because money floods into silver during bank crises. Silver hasn’t lost its usefulness as money. It’s just overlooked until the lines form outside of banks,”Turk said.
Jordan Roy-Byrne, technical analyst and founder of The Daily Gold, noted that silver often outperforms gold after gold experiences its first correction following a major breakout.
“Peak or no peak, there is great value in silver and silver stocks now,” Roy-Byrne said. “They are poised to strongly outperform in the next leg up.”
According to Crescat Capital macro strategist Otavio Costa, the historical context is telling.
“Over the past 125 years, the ratio has only spent brief moments above the 100 level — extremes like this tend not to persist for long.”
He added, “I’ve never seen the gold-to-silver ratio stay above 100 for long, and I don’t see any real upside in betting it pushes higher before it turns. This feels like one of the most compelling opportunities I’ve come across.”
Costa’s remarks align with past performance. In 2010, the ratio peaked near 70:1 before silver surged 223% from $15 to $48 within 14 months, while gold gained only 45%. Following the 2020 COVID-19 spike to 124:1, silver doubled in price while gold rose by 31%.
“You’re either in the camp that thinks ‘this time is different,’ or you stick with history. I’m definitely in the latter,” Costa said.
A note from Katusa Research emphasized that silver’s so-called “100 to 1 Activation Point” — a signal derived from historical gold-silver spreads — has now been triggered.
Few investors are aware of the “Silver Trade of 1980,” the firm noted, when the gold-silver ratio collapsed to 17:1 and silver soared to $50/oz.
“That means it took just 17 ounces of silver to buy an ounce of gold,” Katusa wrote, adding that when this imbalance resets, silver typically outpaces gold by three to five times during rallies.
This activation point has only been reached twice in the past 25 years. Both times, silver’s returns crushed those of gold in the aftermath.
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