Crypto For Beginners: Cryptocurrency Terminologies

Since some terms in crypto market are quite hard to understand, here is a set of words that would be useful when keeping in trend with the latest crypto news in the market.

Crypto For Beginners: Cryptocurrency Terminologies

Altcoin is any coin that is not Bitcoin. It can also be called as “alt”.


Alt Season is a part in the market cycle wherein there is an overarching altcoin cryptocurrency against the dollar and Bitcoin.


All Time High (ATH) is the highest price given to a cryptocurrency. It is not ideal to buy a crypto asset at this point.


All Time Low (ATL) is the lowest price given to a cryptocurrency. It is ideal to buy a crypto asset at this point.


Bags is a cryptocurrency holding that is bought higher than the current price. The one who holds bags is called a bag holder.


Bart is a chart pattern that looks like the hair of a famous cartoon character. This pattern occurs with a sudden and immediate rise in price, which takes the visual form of a massive green candle.


Bearish happens when the market price trend is stagnant or downward.


Bullish happens when the market price trend is upward.


BTFD is an acronym for “Buy The Fricking Dip”. This advice is good for a bull market.


BUIDL is the continuous development, maintaining, and contributing to a network

Buying the Dip means to buy when prices are down.


Confirmations are the tally of how many blocks were added to the blockchain after a transaction was confirmed.


Cryptography is the art and science of encoding and decoding. It is at the core of cryptocurrency to an even greater extent than the concept of currency is.


DAO or the Decentralized Autonomous Organization is an organization where programmed rule-sets have replaced most centralized parts of a traditional company.   


DApp is a decentralized application that is often stored on a blockchain.


DEX or Decentralized Exchange is a peer-to-peer exchange with no middleman.


DYOR or Do Your Own Research means doing your own research and making your own investment choices in order to avoid frauds


EMA or Exponential Moving Average is a line based on price action over time that helps traders to spot trends.


EW or Elliot Wave is a pattern that the price movement of assets tends to make. This is usually used in technical analysis.


FOMO or Fear of Missing Out is the emotional response that makes people to impulsively buy tokens at their ATH, trying not to react to FOMO.


FUD or  Fear, Uncertainty, and Doubt is the emotion that people try to invoke in others when they want to bring the price of coin down or drum up headlines.


HODL is what people have to do when coins enter their common 20-80% corrections if they want to come out to the other end and still own coins.


ICO or Initial Coin Offering is a process that involves creating a new token and raising money for it.


Main Net is the main network cryptocurrency and its Blockchain.


Node is any computer that hosts the blockchain. The users must remember that the blockchain is not stored in one place - it is distributed. The nodes play an important role in verifying the ledger.


Panic Selling is selling because the prices are going down and one fears that it might go lower.


POS or Proof of Stake is a system where mining is done by those who hold coins. It actually is similar to getting paid of interest for holding coins.


POW or Proof of Work is a system where mining is done by those who have the hash power, time, and energy. The time and energy are traded for rewards.


Pump and Dump is a form of investment fraud wherein false and misleading positive statements are being done to be able to sell crypto purchases at a higher price.


QR Code is like a barcode that can be scanned through the phone. This is scanned instead of having to copy and paste or even write down wallet addresses.


Shit Coin is how people call altcoins that they do not like.


Smart Contract is a self-executing contract that has its terms and agreements between the buyer and the seller written directly into lines of codes under the blockchain technology.


Spoofing happens when a person or people with a lot of money and coins buy and sell to themselves in a set range to create the illusion of volume.


Transaction Fee or TX Fee is a fee that must be paid, most of the time in cryptos. For miners, this is often considered as rewards.

Whales are cryptocurrency investors who hold a large amount of crypto coins. These whales can lead to a disproportionate impact on prices.

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