Silver Plunges to ₹1.85 Lakh, Down ₹2.35 Lakh in 9 Months as Experts Warn of More Pain
_261083467.jpg)
Domestic bullion markets are witnessing an unprecedented pre-festive selloff as silver prices suffered a staggering freefall ahead of Diwali, sliding all the way to ₹1.85 lakh per kilogram on the Multi Commodity Exchange (MCX). The dramatic downslide marks a jaw-dropping decline of nearly ₹2.35 lakh per kg from its record peak of ₹4.2 lakh established on January 29, 2026, representing a catastrophic erosion of nearly 56% in just nine months. With retail buyers and high-net-worth investors questioning whether current valuations present a genuine festive buying opportunity or an ongoing trap, market analysts warn that the precious white metal shows severe technical weakness that could drag prices significantly lower before finding a firm structural bottom.
Global COMEX and Domestic MCX Slump to Multi-Month Lows
The ongoing liquidation in the white metal extends across both overseas and domestic derivative bourses. On the international COMEX platform, spot silver dropped to test pivotal one-year levels near $50 per ounce, having surrendered all gains accumulated since its November 2025 surge above $49. In parallel, on the Multi Commodity Exchange (MCX) in India, active silver contracts slid sharply on Friday, October 30, dropping over 2%—or ₹3,881—in intraday trade to touch an intraday low of ₹1,85,450 per kg, hitting its lowest traded valuation since December 2025.
Technical Reality Check: Has Silver Really Bottomed Out?
Addressing the steep downturn, SEBI-registered commodity and financial market expert Indra Kamal Tiwari cautioned traders against confusing perceived cheapness with an actual market floor. Emphasizing that technical charts reveal no substantial institutional buying interest returning to the counter, Tiwari asserted that silver remains locked inside a stubborn bearish trend. Until spot contracts deliver a convincing weekly closing above the key resistance thresholds of ₹2,00,000 and ₹2,05,000, market sentiment will continue to favor aggressive sellers, leaving upside rallies vulnerable to sharp distribution.
Critical Support Levels: How Far Could Silver Tumble Next?
If sustained liquidation pressure persists across spot exchanges, Tiwari projects the primary structural safety net on MCX to emerge around the ₹1,70,000 per kg mark, representing the pivotal October 2025 consolidation breakout zone. A decisive breach below that crucial domestic baseline could open the floodgates toward the long-term moving average anchored near ₹1,46,000 per kg. Internationally, if COMEX silver decisively closes beneath the $53-per-ounce mark, the next meaningful technical floor will only be encountered in the $45 to $46 per ounce price channel.
Top 5 Structural Drivers Fueling the Bullion Downslide
Market analysts outline five interconnected technical and macroeconomic catalysts driving this severe price rout:
Breakdown of Descending Triangle: Between March and October, price action carved out a classic descending triangle on the charts; the decisive breach below its critical horizontal neckline has triggered automated stop-losses and aggressive technical selling.
Persistent Series of Lower Highs: The broader trajectory displays a textbook downward stair-step pattern, sliding steadily from ₹4.2 lakh in January to ₹3.05 lakh in May and ₹2.45 lakh in September, reflecting sustained supply dominance.
Surrender of the 0.786 Fibonacci Retracement: The crucial 0.786 Fibonacci retracement level positioned at ₹1,99,330—historically viewed as the final line of defense for the underlying primary uptrend—has been cleanly surrendered.
Heavy Volume Distribution: The downward momentum has been accompanied by multi-week peaks in trading turnover, indicating that institutional funds and large market participants are liquidating extensive long positions.
Global Bullion Market Pressures: Silver continues to grapple with intense cross-asset weakness as COMEX spot struggles around $50 per ounce, while international gold sliding below $4,000 per ounce has cast a heavy cloud across the entire precious metals complex.
_1796085833_351x234.jpg)
_414402786_351x234.jpg)