The term "Diamond hands" is crypto community slang for investors who have a high-risk tolerance for holding cryptocurrencies, even during periods of high volatility. The term is attributed to investors who refrain from selling their cryptocurrency holdings when they are potentially at a great loss or even if they offer profit, and it hints at their long-term bullish stance on a specific coin or token or the entire cryptocurrency market in general. It is often used on social networking platforms such as Twitter, Reddit, and the like.
The term originated from the fact that diamonds are formed under immense pressure and was ascribed to members of the community who had a penchant for cryptocurrency investments despite the risk-reward ratio offered. It is believed to have first been used on the r/Wallstreetbets subreddit. Since its introduction in 2018, the term has grown in popularity and is eerily similar to the term "hodl."