Crypto Slang: Know Your HODL, FUD, Sats, Whale and Pump and Dump Terms
Explaining Crypto Slang Terms like HODL and Whale
As bitcoin’s recent prices showed a downward trend from a significantly high point last year, many experts, celebrities, and athletes have shared their thoughts on the state and future of virtual currencies.
Thanks to all that attention, the jargon and slang terms that were once limited to Reddit threads and chat rooms are now being used daily in information about cryptocurrencies. Here is an explanation of some of the various common lingo and Crypto slang used in the bitcoin or altcoin communities.
Simply put, “HODL” refers to the action of holding a virtual currency. The term originated in the early forums that were discussing bitcoin where someone misspelled the term “hold.”
Many people thought that HODL was an acronym for holding off for dear life and it is now the go-to advice when bitcoin prices become highly volatile and start dropping.
FUD represents three words; fear, uncertainty as well as doubt. For example, many bitcoin followers advise beginners to HODL their coins even though there is a lot of FUD.
Satoshi or Sats is derived from Satoshi Nakamoto's name, the creator of bitcoin. It represents the smallest bitcoin amount that you can send, i.e., 0.00000001. Experienced traders consider the sats rather than the dollar value when evaluating bitcoin.
The word “whale” is the slang title for someone who owns tons of cryptocurrency. When whale investors sell too much of their total stake, it usually causes the prices to reduce significantly due to a flooded supply.
Bagholders are the unfortunate people who were left with lower priced coins after initially setting out to hold the coins to sell them at higher prices. Any person who has a cryptocurrency coin that is priced lower than what they anticipated to sell at eventually is a bagholder.
Pumping And Dumping
The act of pumping and dumping refers to people who come together to create demand in the crypto market by buying a specific coin and increasing its value and then later selling the crypto-coin. These kinds of schemes are typically orchestrated through popular apps like Telegram and Slack. Hence, crypto investors must be wary of such marketing gimmicks.
When a specific coin is mooning, then it means that the prices of that virtual coin are undergoing a noteworthy spike. Crypto-watchers typically get easily excited when minor price bumps happen and start boasting that their currencies will likely reach “the moon,” which can be done to inflate the crypto prices further.
Armed with these crypto-slangs described above, you should now have the ability to recognize and take part in any crypto debate. Stay on the lookout for new crypto terms as the bitcoin conversation becomes more widespread across all markets.