Skip to main content
Trading Fundamentals

Paper Hands

Paper hands refers to selling an asset at the first sign of trouble or volatility, lacking the conviction to hold through drawdowns.

Understanding the Concept

Paper hands is the opposite of diamond hands—and both have their time and place. Selling too early means missing massive rallies. But "paper hands" can also mean "risk management." The difference is intent. Panic-selling Bitcoin at $35,000 during a normal correction? Paper hands. Selling because your thesis changed or stop-loss hit? Smart trading. The meme culture around diamond/paper hands oversimplifies. Every trade should have a plan. If price action invalidates your thesis, selling isn't weakness—it's discipline. If you're selling because you're scared, that's a problem.

Real-World Example

You buy Ethereum at $3,000 during a dip. It drops to $2,700 the next day. You panic and sell. A week later, it's at $3,500. Your paper hands cost you 20% gains—because you didn't have a real plan.

How Strykr Helps

Strykr's AI assistant helps you understand and apply Paper Hands concepts to your trading. Get personalized guidance and real-time market analysis to make better decisions.

Try Strykr Free