But I always though that an asymptote is a line which the function reaches but never touches......or is my understanding wrong?
VCE tends to teach a pretty flawed understanding of asymptotes, tbh. An asymptote's behaviour actually depends on if it's horizontal/oblique, or vertical.
In the case of a vertical asymptote, the function will head towards plus/minus infinity as x approaches the value of that asymptote.
Otherwise, an asymptote is the curve that the function will approach (but never reach/touch) as x goes to positive or negative infinity. The important part being you APPROACH the curve of the asymptote. Let's say that our asymptote is g(x) - this means that as x->infinity, f(x)=g(x) AS WELL AS f'(x)=g'(x). Importantly, in the case of non-vertical asymptotes, you can ALWAYS hit a point on the asymptote, your approaching behaviour is ONLY true in limiting cases.
Another cool example: f(x)=sin(x)/x. In this case, the function actually CONSTANTLY hits the line y=0 (or g(x)=0, using the notation from earlier). HOWEVER, as x->infinity (remember - it's only this limiting case that's important!!), f(x)->0=g(x), AND f'(x)->0=g'(x).