Sturges' rule is a guideline used in statistics to determine the optimal number of bins for a histogram. It suggests that the number of bins (k) should be calculated using the formula k = 1 + 3.322 * log10(n), where n is the number of data points. This helps in effectively visualizing the distribution of data. The rule is particularly useful for datasets that are not too large, typically when n is less than 1000. By following Sturges' rule, statisticians can create clearer and more informative histograms, making it easier to interpret the underlying patterns in the data.