This article comes fromBloomberg, original author: Vildana Hajric

Odaily translator |

This article comes from

Bloomberg

, original author: Vildana Hajric

"Odaily translator |"Bulls looking for a catalyst to extend bitcoin’s stunning rally can take a look — a technical analysis favored by some traders has some good news.

After the price increase of the past two days, Bitcoin has broken through the upper limit of its Vera band (Odaily Note: Vera band is an indicator used to identify an upward or downward trend). This performance suggests that as Bitcoin continues to trade above this upper limit, its price may be in for a sharp rise.

Such a good sign has been verified several times before. Bitcoin has seen a similar move since mid-February, and it has breached yearly highs at least once a month since then. For example, in early February of this year, Bitcoin first breached the upper limit, setting a new yearly high shortly thereafter. And in mid-June, it happened again: It took Bitcoin just three days to reach its then-year high of $13,851. Overall, bitcoin is up more than 220% this year.

Bitcoin appears to be poised for a big breakout as institutional interest in blockchain technology shows no sign of slowing down," said Edward Moya, chief market strategist at Oanda Corp. in New York.