Platinum Rallies To 4-Year High: Is $1,200 Just The Start?

Platinum's stealing the spotlight in 2025, and investors are taking notice as prices moonwalk to a four-year high.

Spot platinum surged 2.7% to $1,200.95 per ounce, its loftiest level since May 2021. Platinum futures are boasting a 31.88% year-to-date gain and a 24.69% jump in the past month alone. This is all good news for investors in the abrdn Physical Platinum Shares ETF PPLT and the GraniteShares Platinum Shares ETF PLTM.

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Why Is Platinum Price Rising?

What's fueling this shiny rally? A tightening market, robust demand, and a sprinkle of investor FOMO.

The World Platinum Investment Council (WPIC) forecasts a near million-ounce supply deficit this year, according to Mining.com. This deficit is expected to be driven by strong industrial demand – think catalytic converters and lab equipment – and constrained output.

Read Also: World’s Largest Platinum Miner Debuts Into Tight Supply, Soaring Prices

Early 2025 saw platinum flood U.S. warehouses amid tariff fears under President Donald Trump, spiking lease rates to a record 13.5% annualized in London and Zurich. "The market's been tight since December," says Ed Sterck of WPIC, noting that while NYMEX outflows may ease pressure, the deficit persists.

Platinum-backed ETFs are at a 10-month high, and spot prices now outshine futures, signaling bullish vibes.

Platinum: Technically Overbought, But Momentum Remains Strong

Technically, platinum's on a tear. Kitco’s Platinum price chart reveals that prices have climbed from $1,000 to over $1,200 in just one month, riding above the 50-day moving average – a bullish sign. The MACD's (moving average convergence/divergence) blue line soaring above the red (+42.64 vs. +30.07) screams upward momentum, while rising trading volume backs the trend's strength.

But hold your horses: the RSI at 85.92 is flashing "overbought," hinting at a possible breather. Watch $1,250 resistance – where prices might stall – or $1,139.50 support, a safety net if they dip.

Platinum's 32% YTD gain outpaces gold's 26%, but whispers on X (like Peter Schiff's "20% move in weeks!") highlight frothy sentiment.

Historical patterns – think 2020's 55% crash – suggest a pullback could loom if momentum fizzles.

For investors, platinum's a glittering opportunity, but stay nimble.

Keep an eye on that $1,250 zone and be ready to pivot if the music slows. In this tight market, platinum's dance could still have legs – or trip on its own sparkle.

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