It's always nice to have something handmade on the Christmas tree. I watched my niece decorating her tree, (in Finland, by video chat) and they had some things her maternal grandmother had made to hang on there. It makes it more sentimental.
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Yes, that definitely has a great value, just as you mention, a sentimental value.
The tree in my home has other ornaments that are a little more complicated for me, my wife made them, but she loves the ones I made, and when she disassembles the tree she keeps them carefully in a CD box to protect them.
It's nice to have some family traditions like that, and it'll stick with your daughters and they'll do the same with their own children.