When you hang something, you dangle or suspend it. You can hang a piñata from a tree, hang a picture on the wall, or hang a wind chime on your porch.
People hang all kinds of things: washing on a clothesline, a rope swing over a lake, or a shower curtain in the bathroom. An artist also hangs an art show — meaning she installs it in a gallery or museum, and maybe literally hangs paintings on the wall. If your mouth hangs open, it gapes, and when fog hangs in the air, it rests there, suspended. Informally, you can "get the hang" of something, or figure it out through practice.