Silver Rush: 5 Historic Moments When Silver Prices Soared in the Modern Era

A big part of being an investor is trying to anticipate the movements of the market. Here looking at historical trends can be a huge help, as no matter how much the world changes, history does have an uncanny ability to keep repeating itself.

All of that is to say that if you’re looking to invest in silver or to buy silver eagles from SD Bullion, understanding what has led the price of silver to surge in the past is a good idea. Here are five key moments in recent history where silver prices surged, showcasing its role as both a monetary asset and an industrial metal.

1. The End of the Silver Standard (Early 20th Century)

Many countries abandoned the silver standard in the early part of the 20th century, transitioning to a gold or fiat currency system. This shift — predictably — caused huge disruptions in the silver market. However, the Industrial Revolution and the rise of photography (which used silver in film) subsequently led to a surge in demand, pushing prices up.

The result was big opportunities for investors. As nations adapted to the new standards, the volatility presented opportunities for investors to capitalize on the increasing — and fluctuating — value of silver.

2. World War II (1939-1945)

The demand for silver surged during World War II due to its use in a variety of military applications, including electronics and weaponry. The U.S. government required a tremendous amount of the metal for the war effort, leading to a spike in prices. 

This period highlighted silver’s dual nature as a precious investment metal and an indispensable industrial commodity. And this was before computers were used for everything. While copper is cheap and widely used for electronic components, silver possesses the highest electrical and thermal conductivity of all metals. Making it the best — and sometimes only — choice for cutting-edge electronics.

3. The Hunt Brothers and the Silver Bubble (1980)

In a daring move, the Hunt brothers attempted to corner the global silver market in the late 1970s and early 1980s. Their extensive purchasing drove the price of silver to an all-time high of nearly $50 per ounce in 1980. 

As you can imagine, their market manipulation was unsustainable. When the bubble burst, the spot price of silver plummeted, but the episode remains one of the most dramatic in the history of commodities trading.

4. The Rise of Digital Photography (Late 20th Century)

The late 20th century brought a significant technological shift with the advent of digital photography, reducing the demand for silver in film processing. Initially, this caused silver prices to dip. 

However, the burgeoning tech industry found new uses for silver, particularly in electronics, leading to a price resurgence as the new millennium approached.

5. The 2008 Financial Crisis and Beyond (2008-2011)

The financial crisis of 2008 led to a sharp increase in investment demand for silver as a safe haven, causing prices to soar. This trend continued into 2011 when silver reached a peak of nearly $50 per ounce. The price was driven not only by investment demand but also by the metal’s growing industrial applications in electronics, solar panels, and medical devices. This period underscored silver’s modern role as a hedge against economic uncertainty.

These five episodes illustrate the complex factors that can lead to dramatic increases in silver prices today. From global conflicts to market bubbles, and technological shifts to economic crises, silver’s price is a reflection of its enduring value in a rapidly changing world.