In the post of today, you will not only learn the common crypto terms, you will also learn what they mean.
Newbies in the crypto world are easily put off when they come across these terms/slangs because they don’t understand it.
It also limits their ability to fully understand a text as some of these terms are off the dictionary.
It’s more like being in the bathroom with lather all over you without a running tap.
In such a situation, you instantly feel helpless and neglected.
But then, that’s why I am here…to keep you informed with the latest happenings in the crypto world.
Now, let’s get the ball rolling already!
Common Crypto Terms/Slangs and Their Meanings
Now, I have a lot of them(up to 47 common crypto terms) and have taken my time to arrange them in alphabetical order.
Read up below.
- ALTCOIN(Alt-Alternative + Coin-Bitcoin) = Any other cryptocurrency other than Bitcoin.
- ASHDRAKED = A situation where you lost all your money.
- BAGHOLDER = A person who buys and holds a particular coin in large quantity hoping to make good profits in the future.
- BEAR/BEARISH = Negative/downward price movement.
- BLOCKCHAIN = The blockchain is a general ledger keeping track of all the transactions that happen within the network.
- BTFD(Buy The Fucking Dip) = An indication to buy a coin when it has gone really gone down in price.
- BULL/BULLISH = Positive/Upward price movement.
- DILDO = Long green or red candles on the chart.
- DIP = A sharp downward movement of a crypto coin.
- DUMP = To sell off a coin or when a coin price drops suddenly.
- DUMPING = Downward price movement.
- DYOR = Do Your Own Research.
- ESCROW = The escrow is a third party that holds financial resources on behalf of other parties.
- FA(Fundamental Analysis) = Basically using the news and press to determine the direction of the price movement of a crypto coin.
- FIAT = Government-issued currency e.g Dollar, Naira, Euro, etc.
- FILLED ORDER = This is when a buy or sell order on an exchange has been executed.
- FOMO(Fear Of Missing Out) = A coin is pumping/going up and you buy without making due analysis thinking it will keep going up.
- FORK = This is when a blockchain splits to create another coin e.g Bitcoin forked to create Bitcoin Cash. It usually occurs when the community does not reach a consensus on a decision.
- FUD(Fear Uncertainty and Doubt) = This happens when a piece of news is spread especially on social media. Often times, the news is false/not verified and can cause a drop in the price of a coin.
- HODL = Hold a position/a coin and not sell. HODL is not an acronym in the real sense. It was a random misspelling of ‘hold’ during a drunken rant from a bitcoiner in 2013. It went viral among the community no more than 3 minutes after it was posted on a well-known forum. Since then, it is been used by crypto enthusiasts.
- ICO(Initial Coin Offering is otherwise known as Initial Public Offering[IPO]) = This is when a crypto project sells some of its coins to raise money to develop the project.
- JOMO(Joy Of Missing Out) = When you express happiness for not buying a coin that is currently doing poorly.
- LONG = Predict upward price movement and take a position by buying.
- MACD(Moving Average Convergence Divergence) = This is a crypto trading indicator the is used to determine the market trend.
- MAXIMUM SUPPLY = This is the maximum number of a coin that can ever be mined or produced. e.g BTC max. supply = 21 million BTC.
- MCAP(Market Capitalization) = This is a term for the total market value of a coin.
- MINING = Mining is the process for creating new units of digital currency.
- MOON = Continuous upward movement of price
- NODE = A computer connected to the blockchain that supports the network by validation and relaying transactions.
- OTC(Over The Counter) = OTC trading is a deal that happens directly between two interested parties i.e without the supervision of a third party.
- PUMP/ PUMPING = Upward price movement.
- PUMP and DUMP(P&D) = P&D is a form of crypto manipulation that involves artificially inflating the price of an owned coin through a false and misleading positive statement. This is in order to sell the cheaply purchased coin at a higher price.
- REKT = When you have a bad loss.
- REVERSE INDICATOR = Someone who is always wrong in predicting price movements.
- ROI(Return On Investment) = If investors put their money into digital currency, they are doing so with the hope that they will receive a compelling return.
- RSI(Relative Strength Index) = A crypto trading indicator used to point out the overbought and oversold condition.
- SAJ CANDLE = Huge green candle.
- SATOSHI = The smallest unit of Bitcoin available. It is named after the creator, Satoshi Nakamoto. (1BTC = 100,000,000 (100 million) Satoshis. 1 Satoshi = 0.00000001BTC).
- SHITCOIN = A coin with no potential value or use.
- SHORT = Predict downward price movement and take a position by selling.
- SL(Stop Loss) = In crypto trading, these are orders that a trader places at a specific price which automatically executes at a certain price.
- SPREAD = The difference between the lowest sell price and the highest buy price of a crypto asset. In OTC trading, it could also mean the difference between the price you can buy a crypto asset and sell it immediately.
- SWING = Zig zag price movement (upwards and downwards).
- TA(Technical Analysis) = This is basically analyzing the market based on the charts using different indicators.
- TOKEN = A unit of digital currency.
- TP(Take Profit) = Used in crypto trading as orders used to set a target profit price on a trade position.
- WHALE = A very wealthy trader/market mover.
Every system has its codes and terminologies and having them abreast will enhance your ability to communicate, blend and understand every message.
The majority of these terminologies are used when trading.
So if you intend trading, I strongly suggest that you have them at your fingertips.
With that, I draw the curtains on today’s post – Common Crypto Terms.
Trust you’ve learnt a great deal?
Can you think of any common crypto term that I left out?
Let me know in the comment section if you need further explanation on any of them.
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