Silver price crashes by Rs 1.08 lakh, gold tumbles by Rs 20,000: Should investors sell or hold? Anil Singhvi and other experts weigh in

Gold and silver prices fell sharply in the latest trading session, recording their sharpest intraday percentage declines in decades, triggering volatility across domestic and international markets.

Market participants said gold and silver have seen a sharp correction in recent sessions after a strong and extended rally, leading to renewed debate on how much further the decline could go and whether investors should sell, hold or wait for lower levels to buy.

Experts said the recent fall has not caused as much concern as the rapid rise seen earlier, with many investors viewing the correction as overdue. However, opinions remain divided on the depth of the fall and the right strategy going forward.

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Gold posts steepest fall since 1983

Gold fell sharply on Friday and was headed for its steepest single-day decline since 1983 after US President Donald Trump announced his choice for the Federal Reserve chair. Silver also witnessed heavy selling pressure, slumping nearly 30 per cent and heading for its worst day on record.

In the international market, COMEX gold prices fell by $591 to close at $4,763. COMEX silver prices dropped by around $36, slipping below the $79 mark.

Anil Singhvi sees correction as natural

Zee Business Managing Editor and market expert Anil Singhvi said the fall in gold and silver prices was expected after a prolonged rally. “After such a strong rise, a correction is natural. Investors should look for buying opportunities when prices come down further,” he said.

Singhvi noted that domestic gold prices are currently trading around Rs 1.65 lakh per 10 grams. He said a favourable buying level for gold would be closer to Rs 1.25 lakh per 10 grams. On silver, he added that a correction towards Rs 1.25–1.30 lakh per kilogram would offer a better entry point for investors.

Sumeet Bagadia flags deeper correction

Sumeet Bagadia said the correction could be meaningful after the kind of rally witnessed in precious metals. “After such a strong rally, a proper correction is required. In my view, gold should correct at least by around Rs 1 lakh from recent levels before one thinks of buying,” he said.

Bagadia added that silver is still expensive at current levels. “Silver could see buying interest only if it falls into the range of Rs 2.25 lakh to Rs 2.5 lakh,” he said.

Mixed views on support levels

Another market expert said silver could find support at relatively higher levels. “Silver around Rs 3 lakh to Rs 3.25 lakh can again be considered a buying zone. Gold also looks comfortable if it comes near Rs 1.40 lakh levels,” he said, adding that the recent fall is “natural and healthy”.

Sharad Awasthi advises caution on silver

Market expert Sharad Awasthi advised caution, particularly on silver. “Silver has a history of very sharp upside moves, but most of those gains get completely absorbed later. I would avoid silver at this stage,” he said.

On gold, Awasthi said he prefers to buy only after deeper corrections. “I would think of buying gold only after a 25–30 per cent correction from current levels,” he said.

Kunal Shah prefers equities over gold

Kunal Shah said gold may not witness a very deep fall despite recent weakness. “Gold has a strong support zone around Rs 1.40 lakh. I feel it may stabilise around those levels,” he said.

However, Shah advised investors to focus on equities instead of attempting to time gold purchases. “If one has to choose between asset classes, this is the time to focus on equities rather than buying gold on dips,” he said, adding that equities could outperform in 2026.

Silver seen in extreme overbought zone

Another expert pointed to extreme conditions in silver. “Silver has been one of the most overbought commodities in the last 100 years. Its RSI had crossed extremely high levels, which is very rare,” he said.

He added that sharp corrections are common in such situations. “A 25 per cent correction is not uncommon. If silver falls closer to the Rs 2 lakh levels, then it can be considered,” he said.

JM Financials’ Ashish Chaturmohta advises exit

JM Financial’s Ashish Chaturmohta said he had already advised investors to exit silver at higher levels. “I have sold silver for friends and relatives at around Rs 3 lakh levels. Such moves do not sustain for long,” he said.

Chaturmohta advised a complete exit from silver at current levels. “Silver should be sold completely. Gold, however, should not be sold aggressively,” he said.

He also said the current phase offers an opportunity for retail investors to monetise idle holdings. “This is a good opportunity to encash silver holdings which have been lying unused for years,” he said.

Staggered buying only after further cooling

Another expert said both gold and silver may need more time to cool off after the sharp rally. “If silver corrects another 30–35 per cent and gold also corrects by a similar margin, then staggered buying through SIPs can be considered,” he said.

He estimated that gold may need to come closer to Rs 1.10 lakh, while silver could be attractive near Rs 2.25–2.5 lakh levels.

Overall, experts said volatility in precious metals is likely to remain high in the near term, with most advising caution on silver and selective holding in gold until clearer price stability emerges.