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Bitcoin price hits new all-time high at $38,500 as the industry reaches $1 trillion market cap

  • Bitcoin price has hit a new all-time high at $38,500 across all exchanges.
  • The entire cryptocurrency market capitalization has reached $1 trillion for the first time in history.

Bitcoin price continues posting new highs almost every single day in what seems to be an unstoppable rally. We have seen practically no correction moves since December 2020 as resistance to the upside is extremely weak. 

Where is Bitcoin price headed to next?

It's hard to predict where Bitcoin is moving to as there is practically no resistance to the upside. Interestingly enough, the number of whales seems to have increased significantly since January 1, 2021. 

BTC Holders Distribution chart

The number of large holders with 1,000 to 10,000 coins ($38,500,000 to $385,000,000) has increased by 120 since December 26. Similarly, the amount of massive whales holding between 10,000 and 100,000 coins ($385,000,000 and $3,850,000,000) also spiked by five since January 1. 

BTC Social Volume

Surprisingly, Bitcoin's social volume has not reached December 2017 levels just yet, which means FOMO (Fear of Missing Out) is lower. Google Trends shows a similar picture for searches related to Bitcoin. This indicates that Bitcoin price can potentially rise higher before its first major correction. 

BTC/USD daily chart 

On the daily chart, Bitcoin price has stayed above the 12-EMA and the 26-EMA during the rally. On January 4 and 5, the digital asset dropped briefly towards the 12-EMA, but bulls bought the dip, again adding credence to the strength of this support level. As long as Bitcoin price can hold both levels, the uptrend will remain intact. The next target is $40,000.

BTC selling signals chart

However, we know Bitcoin price needs to see a pullback eventually. The TD Sequential indicator has just presented a sell signal on the 2-hour chart and the 6-hour chart and will most likely present others. If both signals are validated, we could see Bitcoin price dip towards $38,000 or $37,000.

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