Many experiences in the crypto world are learned by spending a lot of money in the market. This is not something that teachers can teach; only through personal experience and the pain of firsthand lessons can one truly understand. Some people record their mistakes to avoid repeating them; others make the same mistakes over and over, paying tuition without realizing it. Some only realize after falling into the abyss that everything is related to their personality—bad habits are hard to change, but once you do, you'll find that trading is actually quite simple. The concepts learned from successful traders are more important than technical analysis.

Technical analysis generally aims to catch trends and reversals, which is why it is divided into trend-following and reversal strategies. Moving averages are trend indicators because they are stable and simple, requiring no judgment. They provide a certain directional accuracy for trend analysis, which is why many investors prefer to use them. Different moving averages, such as the 3-day, 6-day, 10-day, 15-day, or even seasonal and semi-annual moving averages, are used to control the market.

Which moving average to use depends on personal preference—just go with what makes you happy. However, because moving averages smooth out data, they may lose the early signals of high and low points, prompting many to try other methods to catch reversals. Drawing circles, identifying wave peaks with rising K-lines, and wave troughs with falling K-lines are some of these methods. Of course, there are many other techniques, and various technical indicators serve similar functions. But don’t forget, long-term moving averages and wave patterns reveal the main trend, while short-term entries and exits depend on how you manage your trades.

The three key tools for trading in the crypto space are: mindset, technology, and position management. Trade the waves you understand, sing the songs you know, dance the dances you can, and ride the waves you can handle. Don’t force what you don’t understand or can’t do—markets are always available, and exchanges never close.

The key to profit is not predicting points but following the trend.