Platinum price analysis: Levels to watch after soaring in 2025

Precious metals have had an impeccable year amid the persistent economic uncertainties and geopolitical risks. For instance, gold has recorded 50 fresh all-time highs, rallying by over 60% ytd. 

With the significant surge in gold price, platinum has emerged as one of the preferred alternatives for jewelry and investment. Besides, the strong demand for hybrid vehicles, Fed policy, and supply tightness have kept platinum price buoyed. 

At the time of writing, it was trading at $2,000 after pulling back slightly from the over 17-year high it hit in the previous session. Since the start of 2025, it has rallied by about 115%.

Platinum price rally to a 17-year high on strong demand

Platinum price is on track to record its second consecutive week of gains. Its value has more than doubled this year and is set to be its best year since 1987. The market has been shaped by increased automotive and jewelry demand amid strained supply.

What’s more, China’s new futures contract has contributed to the recent rallying. In late November, the Guangzhou Futures Exchange launched platinum and palladium futures contracts in an effort to enhance its influence over global commodity pricing. The selection of the two precious metals was particularly crucial due to their role in the jewelry and automobile industries.

Heightened investment and industrial demand in China and beyond is set to continue bolstering platinum price into 2026. In its full-year forecast, the World Platinum Investment Council (WPIC) stated that China’s increased demand for platinum bar and coin investment will drive the expected record growth of 47% YoY. 

However, in the coming year, WPIC expects a more balanced market with a slight surplus. As such, the recorded platinum price rally may ease in the short to medium term. According to Morgan Stanley, the precious metal will likely average at $1,775 an ounce. 

Platinum price technical analysis

Platinum price chart | Source: TradingView

Platinum price has recorded stellar performance in recent weeks; rallying to its highest level since July 2008 this month before pulling back slightly. It has been trading in the green for seven consecutive sessions, equating to an over 15% rise. 

A look at its daily chart signals the continuation of the bullish momentum as it continues to trade above the short-term 25-day EMA and the medium-term 50-day MA. Besides, it has held steady above the main and minor bullish trendlines. 

However, at an RSI of 80, it is deep in the overbought territory and due for a healthy correction. With the activated profit-taking mode, the sellers have a chance to pull it back to $1,800 as the bulls gather enough momentum to hit a fresh 17-year high at the psychologically crucial zone of $2,000 an ounce. Below that level, the bulls will be keen on defending the support along the 25-day EMA at $1,690.