What on Earth Is a HODL?… and other Cryptocurrency Terms

by Salman Jogiyat

Bitcoin seems to have become the new buzzword for investors looking towards cryptocurrency assets that they can invest in. Not only has the cryptocurrency managed to attract more investors than ever before, but it has the endorsements of many big names and organizations.

Some companies have even started to accept Bitcoin as a legal mode of payment for online transactions, while early adopters of Bitcoin have been pushing for its widespread use and acceptance. Despite the fact that cryptocurrency is still in murky waters due to the lack of government regulations, that has not stopped many new and experienced investors from losing confidence in cryptocurrency.

Along with Bitcoin being in the news a lot lately, many of you may have also noticed the use of slang terms that have quickly caught on in the crypto space that you haven’t heard of before. If you’ve been wondering what FUD or HODLing means lately, then you are not alone. Keeping that in mind, the following are some of the most frequently used slang terms that are now being used in the cryptocurrency space.

A Whale

As the name implies, it is a large mammal. But in this case, a whale is an individual investor or corporation who holds a large amount of a cryptocurrency in their wallet. While going overboard when investing is no crime, these crypto holdings are so large that each trade has a ripple effect on the whole crypto market. For instance, it is no secret that the current price volatility that Bitcoin is experiencing is due to the transactions (or lack thereof) carried out by these whales. According to experts, only a handful of Bitcoin investors hold a huge amount of the cryptocurrency, which is causing the current price volatility. So, tracking their movements or their choice of words can also help investors, especially those who are just starting out in the cryptocurrency investment space.

Diamond Hands

This is another popular term that basically means to hold on to your crypto investment even if the prices seem to be going on a downward spiral or during an onslaught of headwinds. This is one of the reasons why Bitcoin investors and traders commonly use a diamond and a hand emoji while tweeting about Bitcoin or other cryptocurrencies.

Weak Hands

In case you haven’t guessed it already, ‘weak hands’ describes a panic sell which is what newbies to cryptocurrency trading tend to do when prices start to take the plunge. Some weak hands sell their crypto investment because of a negative story in the news or market jitters. At the same time, other weak hands drop one cryptocurrency in favor of another due to price fluctuations or future predictions. In short, weak hands are easily fazed by the types of scenarios that wouldn’t have an effect on more experienced crypto investors.

FUD

We have all heard of the term ‘FOMO’ or ‘Fear of missing out,’ but have you heard of FUD. If you are new to crypto investing, probably not. FUD stands for ‘fear, uncertainty, and doubt’ and is another common term that is used while tweeting news on all things cryptocurrency-related. It was adopted by investors in cryptocurrencies to denounce what some see as the intentional spread of misinformation on platforms such as Twitter and Reddit.

HODL

This trend started back in 2013, when one Bitcoin trader that was apparently too excited misspelled the word ‘HODL,’ and the rest is Twitter history. HODL is widely used on almost every forum related to cryptocurrencies and has only gained popularity after Bitcoin’s price skyrocketed. The term is mostly used during market routs and is used by Cryptocurrency investors and traders to provide reassurance to other investors to keep them from selling too quickly and rather ride out a slump in the market.

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