This morning I saw tweets from folks I adore with "diamond hands" in them. Got me thinking.
Diamond hands and its ugly step-child "paper hands" are the wrong way to think about assets. I know some say an NFT isn't an asset. I disagree.
First, both phrases feed group think and peer pressure.
Let's say someone buys an NFT and in all their excitement they announce to the community "diamond hands"! Have they put undo pressure on themselves to hold on to their purchase, because they're worried to be called "paper hands"? I think they have.
Buy an NFT because you believe in the project and you love the art. Because you enjoy being in their Discord. Don't think about the top or the bottom. Lose the idea of "the floor".
Instead, keep an eye on the project daily. As long as the signs are continually pointing to growth and prosperity, there's no reason to think about selling. But if the signs turn negative and the trend is consistent, it's probably time to sell.
You sell something when the time is right for you, not for when it's right for everyone else. Your decisions to buy, sell, or hold should always be about sound investment principles.
I get it, we're proud of our purchases. We should be. But I worry that in this social world we're in where we announce our every move, we're living for others and not for ourselves. If so, that's a recipe for ngmi.
Stop saying diamond hands and paper hands. Think about the ceiling, not the floor. You'll be better off.