A living thing never truly stops moving even while holding still — it breathes, its weight shifts by a fraction, its eyes blink. Freeze every value completely during a hold (a static hold) and a character can read as dead rather than paused, so animators instead keep the big pose locked while letting a small secondary motion drift continuously underneath it — a moving hold.
In UI, an idle avatar that scales by a fraction of a percent like breathing, or blinks once in a while, reads as noticeably more "alive" than one that's perfectly still — even though nothing in its actual state has changed.
The "static hold" on the left is a perfectly fixed circle, and the waveform under it stays flat. The "moving hold" on the right is the same circle, breathing subtly larger and smaller, with the waveform beneath it gently rippling in sync.
When to use
Use it for idle avatars, mascots, and characters. Buttons and icons that are supposed to read as stable and inert usually don't need it.