Hydrogels are polymeric materials that can absorb and retain large amounts of water. They have various applications in agriculture, horticulture, oil recovery, and water management. However, conventional hydrogels have limited swelling (Q), equilibrium swelling (Q∞), and water retention capacities (DQ) under different environmental conditions. In this study, we synthesized a series of hydrophobically associated hydrogels by the aqueous polymerization of acrylamide, acrylic acid, 2-acrylamide-2-methylpropanesulfonic acid, and a novel amphiphilic hydrophobic monomer (RCS-10). Further, we investigated the effects of the RCS-10 content on Q, the mechanical properties, and water retention capacity (DQ) of the hydrogels. We also examined the influence of temperature, pH, salt type and concentration, and urea concentration on Q, finding that an increase in the RCS-10 content decreased Q and increased the DQ of the hydrogels. The hydrogels exhibited high Q in distilled water, low-salt solutions, and low-urea (1 wt%) solutions. In the latter, the Q∞ was as high as 768.99 g/g. The hydrogels also showed excellent cyclic swelling performance and maintained high Q∞ (759.99 g/g) after six cycles. Crucially, the hydrophobic association hydrogels demonstrated superior swelling and water retention properties compared to conventional hydrogels. Thus, the hydrogels have applications in water management in various fields including agriculture and horticulture.