According to the Washington Department of Fish and Wildlife, possums or opossums do not hang from their tails while sleeping. They are nocturnal creatures that spend the day sleeping in dens, hollow stumps and logs, or other concealed locations.
According to the WDFW, possums use their tails for a variety of purposes. They construct warm nests by wrapping their tails around grasses and leaves, which they then transport to their sleeping locations. A mother possum carries her young on her back, with the young clinging to her with their feet and tails. Possums also wrap their tails around branches for support when climbing trees in search of shelter, food, or a place to rest.