Bitcoin Community Terminology Guide: A Complete Overview of Cryptocurrency Slang from HODL to Diamond Hands

When you first step into the Bitcoin and cryptocurrency markets, the first thing you’ll encounter is the unique industry terminology. To read charts and understand community discussions, you need to grasp the meanings of these slang terms. Today on Gate.io Content Plaza, we’ve compiled 20 essential terms that every beginner to experienced crypto enthusiasts must know.

Key Terms Reflecting Cryptocurrency Investment Psychology

HODL (Hold Long-Term)

One of the most iconic terms in the Bitcoin community. Originally, a user mistyped “hold” as “HODL,” which became a meme, and later was reinterpreted as “Hold On Dear Life.” The HODL philosophy advocates holding assets long-term without being swayed by short-term price fluctuations.

Diamond hands vs Paper hands

Terms related to HODL. Diamond hands refer to investors who endure market downturns and heavy selling pressure without panic selling. Conversely, Paper hands describe investors who quickly panic and sell at the slightest loss. These terms express the psychological resilience of investors and show how well they handle market volatility.

FOMO (Fear Of Missing Out)

An abbreviation for “Fear Of Missing Out,” describing the psychological state where one feels they might miss out on profits while others are gaining. Especially in crypto markets, when a coin surges, news and community reactions can trigger impulsive buying. FOMO-driven buying often occurs near market tops and can lead to losses.

FUD (Fear, Uncertainty, Doubt)

An abbreviation for “Fear, Uncertainty, Doubt,” referring to the act of intentionally or unintentionally spreading negative information or rumors. When someone disseminates negative news about a specific cryptocurrency or the market as a whole, it can influence collective sentiment and lead to price declines.

Terms Indicating Market Manipulation and Losses

Shill (Promoting a specific coin)

Refers to actively promoting a particular cryptocurrency for personal gain. For example, an investor who has already invested in a coin but isn’t seeing profits might persuade others to buy it. Shilling is considered one of the worst behaviors in trust-based communities.

Pump and dump

A coordinated group manipulates market sentiment by artificially inflating a coin’s price with false or misleading information (“pump”) and then selling off (“dump”) at the peak to profit. This leaves late investors with losses.

Rekt (Big Loss)

Derived from “wrecked,” describing a situation where a sharp price drop causes significant losses. Similar to a player being completely destroyed in a game. If someone says “I got rekt,” they have suffered a major loss in their investment.

Bagholder (Loss Holder)

Refers to an investor who continues holding a cryptocurrency after its price has plummeted, often hoping for a recovery or unable to sell.

Market Participants and Price Movements

Whale

A large investor or institution holding over 5% of the total supply. Because whale movements can significantly influence market volatility, many traders monitor whale transactions closely.

Going to the moon

An optimistic expression indicating that a particular cryptocurrency’s price will rise dramatically in the future. Saying “Bitcoin is going to the moon” means believing that your investment will yield substantial profits.

Bullish vs Bearish

Originally from traditional stock markets, these terms are now standard in crypto. Bullish indicates an expectation that prices will continue to rise, while Bearish suggests an impending decline.

Buy the dip

A strategy of purchasing assets after a sharp price decline, expecting a rebound. Similar to buying discounted items during a sale, this approach involves buying Bitcoin at low prices in anticipation of future gains.

Cryptocurrency Industry Jargon

Sats (Satoshis)

The smallest unit of Bitcoin, equal to 0.00000001 BTC. Commonly used for small transactions.

Market cap

The total market value of a specific cryptocurrency, calculated by multiplying the current price by the circulating supply. It’s a key indicator of a project’s size.

ICO (Initial Coin Offering)

Equivalent to an IPO in the crypto world. A new project releases detailed information and a technical roadmap, then sells new tokens to raise funds. Investors participate by buying tokens, hoping for project growth and future value appreciation.

NFT (Non-Fungible Token)

A unique 1:1 digital asset with embedded identification codes, making it impossible to duplicate or replace. It can represent digital art, tweets, audio, and other digital assets.

KYC (Know Your Customer)

A process to verify the identity of exchange users. Most regulated crypto exchanges enforce KYC rules to ensure compliance and market security.

Vaporware

Refers to crypto projects that are announced but not yet developed or completed. They often attract community attention through marketing but may ultimately remain unfinished or abandoned.

Terms Indicating Community Sentiment

No-coiner

Refers to individuals who believe Bitcoin and cryptocurrencies are doomed to fail or have little future value. They typically do not hold any crypto assets.

Cryptosis

A term describing an obsessive craving for crypto knowledge and market information. Although it sounds like a disease, it doesn’t threaten life. Symptoms include endless participation in crypto forums, pressuring friends to invest, and excessive risk aversion during trading.

WAGMI vs NGMI

WAGMI (“We’re All Gonna Make It”) is used in the crypto community to inspire hope and confidence among fellow investors. Conversely, NGMI (“Not Gonna Make It”) indicates poor investment decisions or a belief that one will not succeed in the market. Both terms are especially popular in NFT and Web3 communities on Twitter and Discord.

Disclaimer: This document is for informational purposes only and should not be considered legal, tax, investment, financial, or other advice. Cryptocurrency trading involves high risk; please make decisions carefully and after thorough research.