Just took another look at the precious metals charts, and honestly, I’m surprised at how wild the platinum vs. gold price movements have been lately. At the end of January, platinum hit a new all-time high of nearly $2,925 per ounce—that was pretty crazy. But then there was a sharp correction, and the price dropped over 35 percent within a few days. Currently, it’s hovering somewhere between $2,000 and $2,100.

What fascinates me: while gold has long been trading above $4,800 and even saw over $5,500 at the end of January, platinum was neglected for years. The platinum vs. gold price ratio was just insane—gold was trading at over a $2,700 premium, something that has never happened historically. But now it gets interesting: platinum has gained over 100 percent in 2025, while gold has only risen about 70 percent.

The story behind it explains a lot. Platinum used to be the most valuable precious metal—over $1,500 in 2014—but then came a long dry spell. The automotive industry collapsed, diesel catalysts suddenly became undesirable. From 2015 to mid-2025, platinum just hovered around the $1,000 mark. Then, suddenly, in June 2025, this massive breakout. The reasons are diverse: South Africa produces 70-80 percent of the global platinum supply and is facing serious production issues. Add to that structural supply deficits, geopolitical tensions, and a weak US dollar. Investors realized platinum is much scarcer than gold and started looking for cheaper precious metal alternatives.

What I notice when comparing platinum vs. gold prices: platinum’s volatility is significantly more extreme. The futures market has about 73,500 contracts, making it much less liquid than the gold market. This means small position changes can trigger large price jumps. We saw this live in January—initially up 40 percent, then down 35 percent within a few days.

For 2026, the World Platinum Investment Council expects a balanced market with a small surplus after 2025 was a deficit year. Demand could decrease by 6 percent, mainly because investments are expected to drop by 52 percent. However, demand for bars and coins is projected to grow by 30-37 percent. Analysts are divided—Heraeus predicts $1,300–$1,800, Bank of America $2,450, Commerzbank $1,800. This shows how uncertain the situation is.

Active traders might find interesting setups in platinum. The volatility offers opportunities but also significant risks. Trend-following strategies with moving averages often work well, but strict stop-losses are essential—risk only 1-2 percent of total capital per trade. With €10,000 in capital, that means risking a maximum of €100–€200 per position.

For more conservative investors, platinum could be an interesting addition. It often moves counter to stocks and has its own supply-demand dynamics. ETCs, ETFs, or physical platinum are safer options here. However, it’s important to note that higher volatility also increases the overall risk of the portfolio.

The platinum vs. gold price question will likely remain for a long time. In the long term, platinum could regain importance through fuel cells and green hydrogen—WPIC forecasts additional demand of 875,000–900,000 ounces by 2030 from this sector. But until then, uncertainties remain high. Anyone looking to invest should understand what they’re getting into—platinum is definitely not for the faint of heart.