Hold the down arrow key to lower your fishing hook. Don't press anything and the hook will go up on it's own. Left and right arrow keys move the boat (don't go too far to the side or the sprites will go to different positions).
This is a template for a fishing game that demonstrates several concepts, such as disabling/allowing movement, stopping sprites at certain positions, using variables, multiple spawn trees, a shop, upgrading, etc. This game isn't finished but has the basic mechanics for all of these systems in place. With the basic mechanics in place, you can add all kinds of things to the project. I used the pen tool for the fishing line as a quick and easy way to get it working, but it can easily be replaced with something that looks better.