Definition of paperhands
In the world of the stock market, someone with “paper hands” exits a position or folds early because the financial risk is high. In other words, they panic sell. In the crypto sphere, people are often either taking a minimal gain or possibly even sustaining a loss because of anxiety that the project might be a rug. Their hands are described as paper because they fold or break with the slightest pressure.
Paperhands used in a sentence
“I was whitelisted for this project that minted yesterday, but because of paperhands, the price went below the mint price!
“Paperhands caused the price of this token to go down.“
“The price of bitcoin was going down very fast, so I got out when I could, I really have paperhands”
History/information/research of paperhands
“Paper hands” contrasts with “diamond hands.” A trader with “diamond hands” believes in the eventual profitability of their investments. Because of this, they continue to hold even when their value drops below the initial purchase price. Other reasons for paper handing a project is that people might be afraid that the project will not continue, or because of FUD against the project.