dancing vs diversion

dancing and diversion both are nouns.

Word	Noun	Adjective	Verb	Adverb
dancing	Yes	No	No	No
diversion	Yes	No	No	No

As nouns, diversion is a hypernym of dancing; that is, diversion is a word with a broader meaning than dancing:

dancing: taking a series of rhythmical steps (and movements) in time to music
diversion: an activity that diverts or amuses or stimulates

Other hypernyms of dancing include recreation, performing arts.

dancing (noun)	diversion (noun)
taking a series of rhythmical steps (and movements) in time to music	an activity that diverts or amuses or stimulates
	a turning aside (of your course or attention or concern)
	an attack calculated to draw enemy defense away from the point of the principal attack