loon 1 (lōōn) n. Any of several fish-eating, diving birds of the genus Gavia of northern regions, having a short tail, webbed feet, and a laughlike cry.
[Perhaps alteration of dialectal loom, guillemot, diver, from Old Norse lōmr.]
loon 2 (lōōn) n.
Informal One who is crazy or deranged.
[Probably from loon1 (from its loud cry) and influenced by lunatic.]