The inexorable bull run of the "white metal" came to a sudden end on Friday, January 30, 2026, as silver prices witnessed a historic single-day crash. Prices dropped by over ₹44,000 per kg after topping the all-time high of ₹4.20 lakh per kg that was reached the previous session, putting investors and jewelers in shock.
The Great Correction: From ₹4.20 Lakh to ₹3.75 Lakh
On Thursday, Jan 29, silver hit an all-time high at ₹4,20,048 on the Multi Commodity Exchange (MCX). But a surge in profit-booking and an increasing US Dollar caused a huge sell-off. Silver was trading close to the ₹3,75,900 level by Friday morning — a shocking 10% drop from its peak.
Why Did Silver Prices Crash?
Market analysts have singled out three key triggers behind this "flash crash":
- US Federal Reserve Signals: News that the Trump administration is considering Kevin Warsh to replace Jerome Powell as US Fed Chair led to a surge in US Treasury yields and a strengthening dollar, thus making precious metals increasingly expensive for other currency holders.
- Overheated Markets: Silver was up by over 70% in January alone. Specialists warned that the market was in "bubble territory", trading nearly 30% above its fundamental value.
- Gold’s Pullback: Gold also suffered a big loss, retreating from its high of ₹1.93 lakh per 10 grams, leading the more volatile metal to even lower prices.
City Wise Silver Rates (January 30, 2026)
While MCX rates fluctuate during the day, the local bullion markets of major Indian cities reflected a sharp downturn.
| City | Silver Price per Kg (Approx) | Change from Peak |
| Delhi | ₹3,85,000 | ↓ ₹41,000 |
| Mumbai | ₹3,85,000 | ↓ ₹41,000 |
| Chennai | ₹3,95,000 | ↓ ₹39,000 |
| Bangalore | ₹3,95,000 | ↓ ₹39,000 |
| Hyderabad | ₹3,95,000 | ↓ ₹39,000 |
| Kolkata | ₹3,85,000 | ↓ ₹41,000 |
Note: prices include GST and local taxes. Rates may vary slightly by jeweler.
Is This a Market Opportunity For A Buy?
For all its carnage, silver's long-term prospects remain constructive. “This is a classic technical correction in a parabolic market,” a senior commodity analyst says. “Although the short term would probably be quite volatile, the ₹3.55 lakh – ₹3.60 lakh zone is indeed very strong for those looking to enter for the long term.”
