How to have diamond hands

Every dollar you spend is spent. If you decide to “invest” in something whether is be crypto, the stock market, or an alternative investment, you must consider that money invested as if you bought an experience (i.e. something that is a sunk cost like a vacation). There is always risk even in the safest investments that it could go to zero. A bank account earning 0.01% interest certainly has less risk than say cryptocurrency, but theres always going to be that chance of an extinction level event.

Another way to justify is dollar cost averaging. If you DCA, you are less exposed to volatility in whatever market you invest in. But, here you are also spending your hard earned dollars so make sure you only invest what you can afford to lose.

Do your own reasearch. Make sure that you take responsibility and do you due diligence before making any purchase, whether that be a car, boat, vacation (NOT examples of investments) or the stock market, real estate, or cryptocurrencies (examples of high risk investments). This way you are taking personal responsibility moreso than blindly following others on “memes” or similar “bets”.

In the case of cryptocurrency, there are a bunch of ways you can develop diamond hands. Employ strategies like staking, which often locks in your funds for a certain period of time with either no way of unstaking early, or a penalty (don’t take the penalty). Another option that I have personally employed is mining – use your graphics card or CPU to mine your favorite coins in the winter to heat your home. You can justify every penny spent as ofsetting your heating bill and in a few years you might even have made a decent profit.

Remember the adage buy low, sell high, or Warren Buffet’s advice to be cautious when others are greedy and vice versa. DO NOT buy at all time highs if you cannot stomach short term losses, instead buy the dips or DCA. And the most obvious as it relates to the title is please don’t panic sell. You are only making the problem worse, you are part of the market and are futhering the downturn of the assets price. If you follow the above advice, you will hopefully be able to resist having paper hands and hold through the downturns that any market is bound to have.

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