Supercapacitor technology has been continuously advancing to improve material performance and energy density by utilizing new technologies like hybrid materials and electrodes with nanostructures. Along with fundamental principles, this article covers various types of supercapacitors, such as hybrid, electric double-layer, and pseudocapacitors. Further, comprehensive electrochemical characterization methods, including galvanostatic charge–discharge, electrochemical impedance spectroscopy, cyclic voltammetry, and other techniques (structural characterization, which includes methods such as scanning electron microscopy (SEM) and transmission electron microscopy (TEM), X-ray diffraction (XRD), Fourier-transform infrared spectroscopy (FTIR), and Brunauer–Emmett–Teller (BET) analysis), provide information on the behavior and performance of supercapacitors. Additionally, supercapacitors are being studied for their key applications, which include industrial uses, renewable energy systems, electric vehicles, and portable electronics. Along with discussing existing limitations—such as comparatively lower energy density in comparison to batteries—the article also highlights emerging trends that could help address these limitations in the future, like the development of innovative materials and inventive electrode designs. Finally, the discussion concludes with suggestions for future research focused on enhancing supercapacitor performance and broadening their range of applications, which highlights their contribution to the development of an ecosystem for energy storage that is more effective and sustainable.