What Is HODL?

The cryptocurrency market has been growing at a rapid rate, and with this growth, there is a huge inflow of new people into this ecosystem. This helps to make communications better, but there are a number of crypto terms that are being used on a constant basis that not everyone might be too familiar with. If you are someone who wants to succeed in this space, then knowing these terms are essential, as it will make everything much easier.

HODL Definition

HODL is a term used in cryptocurrencies to state that you are keeping your cryptocurrencies and are not planning on selling them in the near future. This term can also be described as a strategy of simply buying crypto and keeping it until the price goes up significantly to then sell and make profits. HODL now is seen as an abbreviation of Hold On for Dear Life, meaning don’t sell it unless there is an absolute necessity for this. But this term was not created with this abbreviation in mind, and it was a simple mistake made by a guy writing a blog post and being angry that he did not sell his Bitcoin. In the blog post titled “I AM HODLING” a user by the name of GameKyuubi went on a rant that he is holding his Bitcoin and he knows that he should have sold it, but he is not a good trader and now he is too late to sell it. This post was made in 2013, and we are sure GameKyuubi is really happy with himself for not selling his Bitcoin then. Ever since Bitcoin became popular and skyrocketed in price, this blog post surfaced on the internet and immediately gained the attention of crypto enthusiasts the world over, because of how funny a blog post it was. People also caught on to the misspelled title “I AM HODLING” (that should have been “I AM HOLDING”) and started joking that they are also HODLING Bitcoin. Soon this joke grew so big that it is now widely considered to be the most popular and commonly used term in crypto, especially when dealing with Bitcoin.

FAQs on HODL Meaning

What does HODL stand for?

While it was not intended to stand for this, today, HODL stands for Hold On for Dear Life, meaning that you should not sell your Bitcoin and keep it as prices are destined to go up. But the original usage of this word is a simple misspelling of the word Hold, by a user on a blog post all the way back in 2013.

Is HODL a good crypto strategy?

HODL is a pretty popular and simple strategy, and its effectiveness depends on the market conditions at the time. If you see that the current market is having a bull run and has reached really decent highs, then you should not use HODL as people will be taking out profits, and the price is expected to drop. The best time to use HODL is when we are in the bear market and prices are down. Here you can buy crypto and HODL it for a long time until prices recover and you can make significant profits.