Anchor Text is the visible and clickable underlined blue text in a hyperlink. An anchor text literally anchors two different locations on the internet together. It is a blue underlined text used to link one webpage to another.
Although, it is possible to change the color and underlining through HTML code or CSS. The anchor text is also known as the link label or link title, relevant for both your internal links as well as external links. It provides relevant contextual information about the content of the link’s destination to both search engines and users.