Commonly thought of something to do with licking because sicle rhymes with popsicle. Also might be thought of something to do with testicles, once again because of rhyming. These are both false though, get your minds outta the gutter.
This term was officially coined in Rice University, Spring 2010.
"She just broke my heart, I need a hugsicle."
"He just hugsicle raped me."
"Bro can I have a hugsicle?" "Nah man, not in public."