This work aims to utilize the widely adopted nanoindentation technique to explore the deformation behavior and mechanical characteristics of nanocrystalline silver (Ag) materials. Molecular Dynamics simulations were conducted to understand the material behavior at the nanometer scale. In this simulation, the effect of indentation velocity and indentation depth on defect formation and hardness during nanoindentation of Ag specimens was analyzed and discussed in detail. The results show that the deformation behavior of the Ag specimen was affected by different indentation velocities. These phenomena were confirmed by analyzing the load-displacement curve, which indicates elastic deformation by the appearance of a linear load-displacement at low indentation velocities. In contrast, plastic deformation was found by the presence of intensified serration in the load-displacement relationship at higher indentation velocities. In these cases, the hardness showed little variation when the indenter velocity was increased from 5 m/s to 10 m/s, whereas a significant increase in hardness was observed when the indentation velocity was further increased to 20 m/s. Importantly, the progression of load-displacement curves during nanoindentation demonstrates the occurrence of minor and major load drops, corresponding to an increase in indentation depth from 0.5 nm to 2 nm respectively. These findings were elucidated through dislocation extraction analysis (DXA), which revealed that a minor load drop at low indentation depths is attributed to the nucleation of an amorphous structure, while a major load drop at higher indentation depths is associated with the expansion of dislocation nucleation. Consequently, the hardness increased significantly as the indentation depth increased. This research, provides insight into atomistic investigation and offers guidelines for designing materials with excellent mechanical properties using nanoindentation.