You make a lot of point here. Panic selling is as a result of the holders depending solely on that source to be their only income for expenses which is never like that in the crypto space. Altcoins are the ones that give such quick profit but because of the volatility nature of it also and how it may take more time to fetch you profit depending on the project or may never fetch you profit will determine more how a newbie investor will panic to sell. Almost all social media handles have a similar mechanism of portraying news to panic sell to newbie investors, it is better to confirm news that may tend you to make some quick decisions to your holdings so that you don’t miss out on the big ride.
It is easy to cause panic among weak hands and make them exit their positions through rumors and negative news that some influencers may spread widely on social media. They do this to buy the tokens they have at discounts before the big pump, and they cause these investors psychological pressure and fear of loss when they find that the token they hold is in a correction phase or a price drop.
If the investor has invested in these altcoins, what he can lose in the long term, and has not relied on them as a primary source of expenses, he will indeed be more balanced in his decisions. Indeed, whoever owns investments that he believes in their future and trusts will not be affected by panic selling because he will be convinced that his investments will bring him profits as the market recovers and prices rise again.