'axoplasm' originates from New Latin / scientific coinage, specifically combining the Greek elements 'axōn' and 'plasma', where 'axōn' meant 'axis, axle' (used for 'axon') and 'plasma' meant 'something formed' or 'moulded substance'.

'axoplasm' developed from the anatomical term 'axon' (from Greek 'axōn') plus the biological suffix '-plasm' (from Greek 'plasma'), forming the compound term 'axon-plasm' which became the modern scientific word 'axoplasm' in late 19th to early 20th century usage.

Initially it referred generally to the 'substance that forms the axon', but over time it came to be used specifically for the 'cytoplasm within an axon'.