Bitcoin price heads to $41,500 as on-chain metrics turn bullish

• Bitcoin price briefly hit $40,000 again after a massive recovery from $30,000.
• Several on-chain metrics show whales are still accumulating a lot of Bitcoin expecting it to rise higher.

Bitcoin had a massive sell-off on January 10, dropping from a high of $41,350 down to $30,420 in the next three days. However, bulls have bought the dip and Bitcoin has experienced a V-shape recovery, currently trading around $39,600 and aiming to climb back above $40,000.

Bitcoin price can hit a new all-time high according to various indicators

According to statistics from Whalemap on Twitter, there are only two crucial resistance levels above located at $40,724 and $41,383, and a lot of support on the way down at $37,834, $35,775, and $34,666.

The number of whales has increased tremendously over the past two weeks despite the recent sell-off. Santiment shows that the amount of large holders with 1,000 to 10,000 coins ($39,000,000 to $390,000,000) has increased from 2,128 on December 26, 2020, to a current high of 2,322. 

BTC Holders Distribution

Similarly, the number of whales holding between 10,000 and 100,000 coins ($390,000,000 and $3,900,000,000) also increased from 96 on January 1 to 102 currently. This rise shows whales are still highly interested in BTC and expect it to rise even higher.

BTC Active Addresses

On top of that, the number of active addresses has been steadily increasing since November 2020, which adds credence to the bull rally. 

BTC Sell Signals

However, on the 3-hour chart, the TD Sequential indicator has presented a sell signal and is about to do the same on the 4-hour chart, adding more credence to the previous one. Validation of this call can push Bitcoin price down towards $39,000 in the short-term.