In 2025, the overall value of Layer-1 (L1) public chain tokens experienced a significant downturn, with prices notably underperforming the market, sparking widespread discussions among investors about whether “L1 has already reached its end.” However, from on-chain data and user behavior, this decline appears more like a valuation re-pricing rather than a fundamental collapse.
According to an analysis report released by Schizoxbt on December 25, most mainstream L1 tokens saw substantial retracements in 2025. Ethereum declined by 15.3% for the year, Solana dropped 35.9%, Avalanche and Sui both fell over 67%. TON performed the weakest, with a year-to-date decline of 73.8%. Among the mainstream L1s, only BNB and TRX bucked the trend, recording increases of 18.2% and 9.8%, respectively. This indicates that in a risk-averse market environment, market capitalization has become less effective in supporting token prices.
But prices do not tell the whole story. On-chain revenue and fee data reveal a very different picture. Token Terminal data shows that the monetization capacity of Layer-1 networks has not significantly declined. Over the past 365 days, Tron led with approximately $3.5 billion in on-chain revenue; Ethereum generated about $305 million, Solana around $207 million. In terms of fees, Solana accumulated about $699 million, Ethereum about $549 million, and BNB Chain also generated approximately $260 million in fee income, demonstrating that their actual usage value remains solid.
User activity has also not experienced large-scale loss. BNB Chain has about 59.8 million monthly active addresses, Solana around 39.8 million, and NEAR about 38.7 million. Sei Network’s active addresses have exceeded 10 million, approaching Bitcoin levels, while Ethereum remains stable at around 9.3 million. Data indicates that Layer-1 networks still carry a substantial demand for real transactions.
Overall, the core reason for the 2025 L1 token price decline is the fading of speculative premiums, rather than a loss of network competitiveness. Capital is refocusing on blockchains that can continuously generate transaction volume, fees, and on-chain revenue. For investors concerned with the fundamentals of Layer-1 public chains, the long-term value of L1 tokens, and real blockchain use cases, this phase is more like a rebalancing after a bubble burst rather than an endgame.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Aster Price Nears $0.79 Breakout as Reversal Pattern Strengthens
Key Insights
Aster price structure shows an inverse head and shoulders pattern forming beneath $0.79 resistance, signaling growing buying pressure and possible trend reversal ahead.
Repeated tests of the $0.79 neckline suggest weakening selling pressure as buyers steadily absorb supply
CryptoFrontNews52m ago
The HYPE price could surge despite the upcoming $2.8 million short squeeze.
The recent price movements of Hyperliquid (HYPE) are characterized by stagnation around 30 USD. A symmetrical triangle pattern indicates potential for a breakout in either direction, but market sentiment is cautious. Short squeeze risks may boost prices, while weak market flow and deteriorating demand pose challenges. The token could face significant support levels if it dips below 30 USD. An improved market sentiment could lead to a breakout above 33 USD, sparking recovery momentum.
TapChiBitcoin1h ago
Ethereum Price Holds Key Support: Is $2,200 the Next Test for ETH?
March 6, 2026 7:15 pm EST
TheCoinRepublic3h ago
Cardano Price Trends: Bulls Eye Opportunity as Indicator Flashes Green
ADA: Trading near $0.27, facing resistance at $0.28 and support at $0.26.
Technical Indicators: RSI and MACD show weak momentum, signaling short-term consolidation and cautious trading.
Macro Outlook: Rising PMI and historical patterns suggest potential bullish rebound if resistance
CryptoNewsLand3h ago
CryptoQuant: Bitcoin NUPL--MVRV indicator reaches 0.33, or has entered the mid-stage of a bear market
Gate News Announcement, March 7th, CryptoQuant analyst Axel pointed out on the X platform that the Bitcoin NUPL--MVRV harmonic composite indicator has reached 0.33, while historical cycle bottoms typically occur around the 0.5 range. The chart shows that the bear market cycle is beginning to shift upward, indicating that Bitcoin may have entered the mid-stage of this bear market cycle, suggesting that extreme selling conditions are easing. However, this indicator is still well above historical bottom levels, implying that a market-wide bottom has not yet been confirmed.
GateNews3h ago
ZEC Price Analysis: Upcoming Trends and Targets for the Next Few Weeks
ZEC: Stabilized near $200 support, rebounding toward $250 resistance after prolonged bearish pressure.
Technical Indicators: RSI and MACD show gradual improvement, signaling moderate bullish momentum returning.
Market Outlook: Sustained above $240 could push ZEC toward $268, while
CryptoNewsLand4h ago
