The village is situated along PA Route 946 at the intersection of Route 946 and Blue Mountain Road.
The village is part of the Lehigh Valley metropolitan area, which had a population of 861,899 and was the 68th-most populous metropolitan area in the U.S. as of the 2020 census.
Danielsville is named for Charles B. Daniels, a postmaster who operated the Little Gap Slate Quarry.
Danielsville is served by the Northampton Area School District.
Students in grades nine through 12 attend Northampton Area High School in Northampton.