arxiv put my first paper submission on hold , does this mean it will be rejected ?
ArXiv is clear in its mission statement: it wants to be an archive and distribution system for research articles. They only accept submissions from registered authors, and have an entire machinery in place to safeguard the scientific quality of the papers they distribute. For example, they require first time submitters to be endorsed (see the information about endorsment here).

If you are an established researcher in the field, the endorsment happens automatically. But since you're an undergraduate student, they will require that you either prove your expertise in the field, or that you send an endorsment letter by someone who is known as an expert in that field. On the webpage about endorsment they give you the information on how to obtain an endorsment, but they also state:


  A good choice for graduate students would be your thesis advisor or
  another professor in your department/institution working in your
  field.


As you're an undergraduate student, I doubt anyone will endorse you as being an expert in that field, especially since we're talking about a review. At our faculty, you don't start writing reviews before the end of your PhD.

So in all honesty, I'm afraid you're aiming too high for the time being. The mail itself doesn't necessarily mean they reject your paper, but without proper endorsment they won't accept you as an expert in the field.