ETF Holders Show Strong Hands in Bitcoin & Ethereum

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  ETF investors in Bitcoin and Ethereum aren’t quick to sell.
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  Joe Chalom praises the surprising “diamond hands” mentality.
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  Institutional investors may be driving long-term conviction.

ETF Investors Are Holding Strong

According to Joe Chalom, co-CEO of Sharplink Gaming and former BlackRock executive, the behavior of Bitcoin and Ethereum ETF holders has been unexpectedly resilient. In a recent interview with Cointelegraph Magazine, Chalom admitted he was “surprised” by how strong-handed these investors have been, even in the face of market volatility.

The term “diamond hands,” often used in crypto culture, refers to investors who hold onto assets despite price swings. Traditionally, ETFs attract more conservative, risk-averse investors. So, seeing this group apply a “hodl” (hold on for dear life) mentality to highly volatile assets like Bitcoin and Ethereum has been notable.

Institutional Conviction Is Growing

Chalom’s background at BlackRock gives his insights extra weight, especially regarding institutional behavior. He suggested that the strength shown by ETF holders may indicate a deeper shift in how traditional investors perceive crypto. Instead of treating BTC and ETH as speculative tools, many now view them as long-term holdings—akin to gold or blue-chip stocks.

This is supported by the structure of spot ETFs themselves, which are often used in retirement accounts or institutional portfolios where turnover is low and long-term strategies are the norm.

A Maturing Crypto Market

The growing maturity of the crypto market is reflected in this behavior. ETFs provide regulated and easier access to crypto for mainstream investors, which helps bring stability and legitimacy to the space. As these products gain popularity, and with institutions showing long-term interest, we may see less dramatic sell-offs during market downturns.

In short, Bitcoin and Ethereum ETF holders are demonstrating conviction that many didn’t expect—and that could reshape how crypto assets behave during future market cycles.