Layer 1 blockchains have become the centerpiece of the ongoing 2024 crypto bull run, with their collective market cap now surpassing $2.8 trillion. This explosive growth, driven by renewed enthusiasm following Donald Trump’s election victory, has marked a 7,000% increase in value since January. Bitcoin leads the charge, accounting for 70% of the total market cap and reaching a new all-time high of $99,600 on November 22, before slightly retreating. Ethereum follows, trading at $3,630 after a 34% surge, cementing its role as the backbone of decentralized applications.

Among other notable performers, Solana and Cardano stand out. Solana, with a 40% monthly gain, hit $263.83 before pulling back to $244. Cardano’s astonishing 200% surge brought it to $1.09, surprising many in the market. Emerging platforms like Hedera and Mantra also posted extraordinary gains, with Mantra skyrocketing over 6,000% since the beginning of the year. However, Binance Coin has lagged behind, delivering only a modest 10% gain in the past month.

Ethereum remains the undisputed leader in total value locked (TVL), holding over $70 billion as of November 29. A significant part of this comes from Lido DAO’s liquid staking, which allows users to stake ETH while maintaining liquidity. Solana’s TVL has also climbed, nearing its all-time high with a 50% increase to $9.17 billion, while Binance Smart Chain has seen more modest growth at $5.57 billion.

Interestingly, Solana has outpaced Ethereum in daily fees, recording $7.4 million compared to Ethereum’s $6.19 million. This milestone reflects Solana’s growing adoption and activity, even as Ethereum’s fee dominance diminishes due to the increasing use of layer 2 solutions and reduced retail investor activity.

In the dApp ecosystem, Ethereum leads in transaction volume, generating $175 billion from 4,844 dApps. Uniswap V3 and 1inch are its standout performers, but high fees and scalability issues have pushed smaller users toward alternatives. BNB Chain, meanwhile, thrives as a retail-friendly ecosystem, boasting 2.41 million unique active wallets and a strong presence in casual trading.

Solana dominates in user engagement, with 113.66 million unique active wallets and nearly 600 million transactions last month. Despite its focus on high-frequency, low-cost interactions, Solana’s relatively modest transaction volume underscores its limited penetration into high-value DeFi markets. Tron, specializing in stablecoin transfers, continues to hold relevance, while Cardano shows slow but steady progress in expanding its dApp ecosystem.

As the bull market unfolds, the spotlight remains on Layer 1 blockchains to sustain their momentum. The challenge lies in proving their utility beyond speculative gains and tackling issues like scalability and developer retention. The current surge highlights the dynamism of the crypto ecosystem, but whether this marks the beginning of a transformative era or another volatile chapter remains to be seen.