And lately, those who have been investing in Bitcoin despite a string of bad publicity for the digital currency have been rewarded to the tune of a 45% gain in less than a month.

In recent months, we've seen a number of negative Bitcoin stories in the mainstream media, suggesting it was a bubble in the making.

During that period, I have remained one of the few tech analysts to say the Bitcoin market remains not only healthy, but faces a very bright future indeed.

Editor's Note: 36 cities in 20 states have already taken aggressive measures to abandon the U.S. dollar. When you see this story you'll understand why.
Consider that on May 7, I wrote that Bitcoin prices had stabilized after a much publicized sell-off. I went on to say the Bitcoin price continued to trade in a narrow band around an average price of $450, indicating a move up was at hand.

How could I be so confident? That's easy. I just studied the charts.

I place a lot of importance on technical analysis for the Bitcoin market. So I'm happy to report that my prediction of a Bitcoin price rally has indeed proved true. Late last week, the digital currency was trading in a band with a value of roughly $650.

That means the average price has soared nearly 45% since I made that prediction. To put it all in perspective, let's take a look at the attached chart.

You'll see that the price established a new base from late April to mid-May. Then on May 21, the currency broke out in heavy trade. Since that time, it has trended higher with bullish support.

The volume shows heavier trade on up days than on losing sessions, another positive development. And the Bitcoin price has moved above the 50-day and 200-day moving averages, considered key trend lines.

All in all, this is literally the picture of a healthy market and shows us once again why investing in Bitcoin, while still somewhat risky, can be a very high-reward proposition.

Then again, the digital currency has also had some help from a number of positive developments in the global Bitcoin industry over the last several weeks...

Investing in Bitcoin Gets a Boost from Some Good News

For instance, Overstock.com Inc. (Nasdaq: OSTK) Chief Executive Officer Patrick Byrne recently said his company has processed $1.6 million in purchases this year using the digital currency.

What's more, Overstock only started accepting Bitcoin as a form of payment at the beginning of 2014. Thus, if sales continue at the current pace, the company could process some $3.2 million in Bitcoin transactions by the end of the year.

Meanwhile, late last month Bitcoin got a major endorsement from none other than the world's leading central bank, our very own Federal Reserve.

Senior officials advising the Fed noted that "Bitcoin does not present a threat to economic activity by disrupting traditional channels of commerce; rather, it could serve as a boon."

As I see it, there's a strong link between the Fed's newfound support and higher Bitcoin prices. Yes, the Fed said the currency may need some regulations in the future but left that for another day. (It earlier said the agency lacks the authority to adopt Bitcoin rules.)

And let's not forget that also last month, Sir Richard Branson, chairman of the Virgin Group Ltd., and Jerry Yang, co-founder of Yahoo! Inc. (Nasdaq: YHOO), joined a venture capital group investing in Bitcoin by putting $30 million into Bitpay, a well-known Bitcoin processing system.

By the end of 2013, Bitpay processed over $100 million in Bitcoin transactions and currently serves more than 30,000 merchants, including virtual as well as brick-and-mortar retailers.

Just last month, the Atlanta-based company announced a partnership with Toshiba Corp. (OTCMKTS: TOSBF) to integrate Bitcoin as a form of payment offered in VisualTouch, a PC-based point-of-sale software application used by businesses ranging from retail shops and grocery stores to hotels and nightclubs.

Sir Richard, one of the world's most famous entrepreneurs, later told The Wall Street Journal that his investment in Bitpay was largely motivated by the current shift happening in the banking industry. He added that he wanted to be a part of the "exciting currency revolution."

All of this just goes to prove what I have been saying for many months now - that Bitcoin represents both a major disruptive technology and a unique investment opportunity.

While it's important to invest only what you can afford to lose, allocating a small amount of money for investing in Bitcoin is a move that many retail investors should at least consider.

Editor's Note: A Silicon Valley venture capitalist, Michael Robinson has uncovered a historic opportunity in Bitcoin - an opportunity that could make you the next Bitcoin millionaire. You have to see this powerful interview. Click here for the full story!