This post is going to be a sort of random follow-up of things that I've learned recently about cryptocurrency. It's not a beginner's manual or an introduction. It's for regular readers of /cow/. It's assuming that you're not a retard and you can read or don't get too intimated by more than 1 paragraph. Having said that, I will be concise and give it to you straight, in as little words as I can muster. It's still gonna be a nice big dense post so sip your coffee and enjoy. Maybe even copy the text down in a word document so you can come back to the info here in 1 week when you need it.
Paper hands vs Diamond Hands:
Paper hands refers to traders that panic when the market drops or bad news causes a decline in their portfolio, causing them to "see red" when the market plummets. They panic and then sell to avoid the market dipping lower on the graphs and them losing more money. These are bitches. Paper hands are nignogs that can't forego immediate gratification or pull back to see the bigger picture. They can't see the forest for the trees. They get emotional and easily succumb to FUD (fear, uncertaint, doubt) that shills post on their boards, sometimes causing them to sell before they should. They are panic-sellers. They sell when a coin is declining in price, fearing they will lose even more morney when it drops lower. "Paper hands" meaning flimsy and easily swayed. Blowing in the wind.
Diamond hands: These are the real traders that do not panic when the market dips or when Elon Musk makes a shitty tweet which causes BTC to drop. They have an iron mind and will. They don't get flustered like the weak, paper-handed bitches that want to cash out on a loss when things get bad. Diamond hands KNOW the market will recover in a couple days, a week or even a month. You only lose if you sell at a loss. It always come back around. They have a long time-horizon to use HBD terms. They use a long-term strategy to make gains. They are hodlers.
Stefan Molyneux has been doing a lot of cryptocurrency podcasts that you may find interesting. I'm making my way through them now. He has been sort of concerned about BTC dropping and some of his podcasts are just pure cope to explain why it's dropping or gaining. He has been complaining about Elon Musk (for good reason) and his shitty Tweets causing Reddit npc's to buy or sell BTC based on good/bad news that Elon posts about cryptocurrecy. Here's how that works:
<optimistic news about Elon Musk buying like $1.5 billion worth of BTC (Bitcoin).
Result: BTC rises to new record ATH (all time high) bc normie npc's heard the news and then bought it bc smart man bought it.
>pessimistic Musk tweet about the price of BTC and ETH (Etherium) being too high.
Result: npc's start selling their BTC and ETH, causing the overall price of all crypto to plummet.
Yes, in case you were wondering, Musk is a very famous and smart man who regularly gets news coverage for his little PR stunts like lauching rockets and Tesla electric cars. Since he is so famous now and so smart compared to normies, a lot of people listen to his every word and value his little opinions on anything. Derided as "Reddit Willy Wonka" (lmao) sometimes I guess, bc he's such an eccentric CEO like Willy Wonka and Chocolate factory and his followers are pure reddit doofuses. His followers are truly braindead in the sense that they cling to his every burp, passing of gas, and hold it in great significance, even buying or selling their cryptocurrencies based on what this strange-looking weirdo has to say about it on a whim, in one brief thought, that he may not even hold the next day. These are paper-handed pussies obviously if you can let Musk scare you into selling or push you into buying.
It's sickening that some rich eccentric dude is capable of tweeting and then tanking the cryptocurrency price or elevating it. It's also alarming that most of the altcoins seem to be connected to BTC and when BTC rises, they rise. Or sometimes, when it falls, they fall due to pessimism or fear in the whole market. Like why does a small coin that is unrelated to BTC have to rely on big daddy BTC when they are separate things? It's only bc that was the first coin and still the most popular so the altcoins still rely on daddy BTC overall. Any news about crypto to normies just means BTC. The broader market doesn't know what a BTC is, let alone the newer altcoins. Who can blame them? It's confusing as fuck.