Hi moonriser_yt, it's me! The guy who made the Wurst Client.
The Tired hack makes your Minecraft character slowly drop their head down and then suddenly snap back up, as if they're really tired and struggling to stay awake, but only other players on the server can see this effect.
As for the description, it's basically an old inside joke. There was a time when I was staying up until 2 AM every night developing Wurst, then going to school at 6 AM as if nothing happened. After about a week of this, I looked like the Tired hack in real life and basically fell asleep in the classroom.
Hope this clears up the confusion!