After seven years in the digital asset market, I suffered losses of over a hundred units in the first three years, but in the following years, I returned to profitability, reaping rewards of hundreds of units. Behind every bit of profit lies profound lessons learned.

This market seems to be constantly repeating an eternal truth: most participants chase short-term news, a few savvy ones pay attention to the movements of large funds, while the true leaders analyze market trends using technical analysis.

Taking the daily moving average as an example, we can liken it to three doctors with different personalities: the 5-day line is like the head of the emergency department, quick to respond; the 30-day line is akin to a skilled internist, steady and reliable; the 60-day line resembles a master's chair in a specialist clinic, having weathered many challenges. When the 5-day line breaks through the 30-day and 60-day lines, it may indicate a significant change in the market; conversely, if the 5-day line falls below these two moving averages, it may signal an adjustment.

Establishing a trading system is crucial as it helps us maintain rationality during market fluctuations. A simple yet effective principle is: when the short-term moving average entangles with the medium-term moving average, stay on the sidelines; only consider entering when the three moving averages are aligned in the same direction. In this highly volatile market, simple strategies are often more effective.

Ultimately, strict discipline is the cornerstone of successful trading. Many people tend to lose control of their emotions during market fluctuations, while the advantage of the moving average strategy is that it forces traders to become calm signal executors. Interestingly, there was a trader who received a moving average breakout signal at a wedding venue and resolutely executed a trade, which caused dissatisfaction from the bride, but the final profit results won her over.

In digital asset trading, cognition and discipline are the key to victory. By gaining a deep understanding of moving averages and adhering to strict trading discipline, investors are expected to achieve long-term success in this market full of opportunities and challenges.