Bitcoin had a blood bath yesterday, and the prices touched a low that wasn’t seen in a long time. Depending on what exchange you use, the low could be slightly different, but on Webull, it touched $29k, which was really very low. While we could expect that many might have panic sold their holdings, we have people who hodled, and some even accumulated during this time. And while all this was happening, Elon Musk tweeted, “Diamond Hands.”
Tesla has 💎 🙌
— Elon Musk (@elonmusk) May 19, 2021
What do Diamond hands mean?
If you turn through some pages and read the history of the price movements of Bitcoin, then you will notice that every four years, there is a bull run. It is just how the currency works. And those who actually hold through all those ups and downs and never sell their holdings become successful in making some real money. “Diamond hands” is the term used for those hodlers or rather their hands that don’t let go in a market panic, ups or downs.
So, Elon Musk’s tweet that says “Tesla has 💎🙌” means that Tesla has not sold their Bitcoins. They are still holding as the market panic doesn’t mean that they will let go. This has impacted the market in an overall good way as the already recovering market recovered faster even though BTC fell back a little after touching $40k.
Why is holding the key?
When we trade or buy something that has a very iffy future, then it makes sense to sell on ups and buy on downs. But in the case of Bitcoin, the future is almost certain, as we all know that it is the future. This is why hodling onto your coins in ups and downs results in you staying from market panic and greed. And your primary goal is not to assess the situation or make the right decision on what to do. All you need to do is hold and see BTC multiply its value over time. Those who do not hold can make money, too, but it does need some serious work and a lot of research to judge how the market’s going to move. And even that won’t be 100% accurate always.
What are your thoughts on the price movement of Bitcoin yesterday? And I hope our readers have hodled on to their coins (even i did). Let us know your thoughts on the bumpy market ride yesterday. Also, if you found our content informative, do like it and share it with your friends.
Also Read: Cathie Wood says Bitcoin will still reach $500k soon.
