Natural hydrogels have emerged as a pivotal innovation in wound care, offering a unique combination of high absorbency, biocompatibility, and versatility. However, due to the complexity of wound healing, the physiological state of the wound varies dynamically, and the mechanism of natural hydrogels that boost wound healing is still unclear. In this review, we firstly provide a comprehensive introduction to the biological process of wound healing, emphasizing the critical stages and factors affecting healing. This work concludes the composition and properties of natural hydrogels, including collagen, gelatin, hyaluronic acid, chitosan, alginates, cellulose, and fibroin, highlighting their biocompatibility and biodegradability. The focus shifts to the various crosslinking strategies employed to enhance the structural integrity and functionality of natural hydrogels. This review further investigates the biological effects of natural hydrogels in wound healing, detailing their antibacterial, antioxidant, anti-inflammatory, adhesive, and hemostatic functions. Furthermore, we propose the challenges and future perspectives of natural hydrogels in practical applications. This review offers a comprehensive overview of the current state and potential future advancements in natural hydrogel dressings for wound care, highlighting their critical role in addressing complex and hard-to-heal wounds.