If someone wants to take advantage of the bear market, they should quickly learn about moving averages. The next bullish market after a drop to 50,000 will be just the right time to use it.
When I first watched Lei Gong's video, I was completely baffled. It was too simple and straightforward for someone like me who had lost money for years. I made a firm decision to master moving averages; I watched each of his moving average teaching videos more than 10 times, aiming to completely transform into him.
There are several important points that need to be focused on: 1. Discount price, 2. Dense moving averages. Mastering these two, you can basically make steady long-term profits.
Generally speaking, a major trend or bull market will follow these patterns. Chart 3
After the bear market of Bitcoin arrived in 2022, there was a crash, a comprehensive bearish divergence, then consolidation, and then the price began to strengthen. The price broke through most moving averages, and when the price is above the discount price, the moving averages will turn upward and become dense at a certain position. The key point is that dense moving averages indicate the end of a consolidation phase; an upward movement signifies a significant rise, while a downward movement signifies a major crash. The costs for everyone in the short, medium, and long term are concentrated in a certain price range, and as soon as it is broken, a big market movement will occur. Chart 3 shows a breakout upwards; buying at 28000, breaking below ma540 completely ends the trend, and the price at 90,000 dollars, from 28,000 to 90,000 dollars, isn’t that a profit?
By thoroughly understanding each of Lei Gong's videos and relying on moving averages for stop-losses, the risk-reward ratio naturally emerges.