In the last decade, blockchain technology has garnered significant attention for its potential to transform a variety of industries and also power systems. This review aims to provide a detailed view on blockchain technology, features that make it significant, limitations, applications in the power system sector, and further challenges that this technology faces for diving into the energy market. It highlights some features of blockchain technology such as transparency, decentralization, security, and immutability. However, the blockchain technology possesses some inherent limitations that makes their integration into the power system challenging. This paper aims to critically examine these limitations and their consequences for application in the power system, all the while offering some potential solutions to tackle these challenges. While in recent years blockchain technology has seen its application and usage in various domains, experiencing its highs and lows, the power system is the domain that remains largely unexplored. As more and more distributed and renewable energy systems are coming into picture, this article highlights features such as transparency and traceability of blockchain technology. However, a balanced approach needs to be considered and implementation of blockchain should align with real world requirements in the energy market.