The XPL token of the Plasma blockchain plunged over 9% in the last 24 hours, struggling to maintain value as initial investor enthusiasm wanes and broader market pressures persist, even with recent increases in network transactions.
Trading at approximately $0.2739 USD, the token’s market capitalization stands at $493.1 million USD. This marks a significant 9.09% decline from its daily opening price of $0.3018 USD, following a previous close at $0.2538 USD.
The drop is primarily attributed to the fading “hype” surrounding Plasma as a specialized blockchain for stablecoins, according to market analysts. This occurs despite reports from BanklessTimes on November 3, 2025, indicating an increase in Plasma network transactions.
XPL remains more than 83% below its all-time high of $1.67 USD, which it reached on September 28, 2025. CoinDesk reports that the token has shed 80% from its peak due to low network activity and declining sentiment.
Daily trading volume for XPL reached $505.8 million USD, exceeding 102% of its market capitalization. While indicating high liquidity, this also suggests intense selling pressure and a rapid turnover of tokens.
The token’s weakness is exacerbated by wider macroeconomic factors. Recent hawkish comments from the U.S. Federal Reserve have contributed to $360 million USD in outflows from crypto funds, pressuring risk assets across the digital market.
Technical analysis confirms a persistent downtrend, with the token trading below its 7-day Simple Moving Average (SMA) of $0.312 USD and its 30-day SMA of $0.4835 USD. The MACD indicator also shows a bearish divergence.
The 14-period Relative Strength Index (RSI) is at 28, indicating that XPL is technically oversold. While this often suggests a potential for a rebound, the overall momentum remains bearish.
Key support for XPL is seen around $0.25 USD, acting as a psychological floor. A breach of this level could lead to a test of $0.20 USD, while resistance is identified near $0.30 USD.
| Level | Type | Why it matters |
|---|---|---|
| $0.25 | Support | Recent daily low; a break below accelerates sales. |
| $0.30 | Resistance | Aligned with SMA-7; a break above suggests a rebound to $0.35. |
| $0.20 | Major Support | A Fibonacci level; potential value entry point. |
Fundamentally, XPL’s utility is tied to Plasma, a Layer-1 blockchain designed for high-throughput stablecoins, decentralized finance (DeFi), and gaming. Despite the price decline, daily transactions on Plasma are increasing.
On-chain adoption metrics show Plasma’s Total Value Locked (TVL) on Pendle surpassing $1 billion USD, positioning it as a significant player. Partnerships include integration with Nansen for on-chain analytics and a forthcoming pBTC bridge.
Compared to major peers like Solana, which boasts a market capitalization of $80 billion USD, XPL’s $493 million USD valuation appears compressed. Analysts suggest potential for upside if Plasma’s scalability competes effectively.
| Metric | XPL | Comparable (e.g., SOL) |
|---|---|---|
| Market Cap | $493M | $80,000M |
| Volume/Cap | 102.58% | 45% |
| TVL | $1B+ on Pendle | $5B+ |
Investor sentiment remains mixed on social media platforms, with some fear, uncertainty, and doubt (FUD) regarding alleged team sales. The founder has denied these claims, according to Cointelegraph on October 2, 2025.
For investors, the near-term outlook is neutral-to-bearish, with opportunities for accumulation at key support levels if on-chain adoption improves sentiment. However, the fading initial enthusiasm and market volatility demand strict risk management.
Current analysis suggests holding existing XPL positions with a bearish bias. This recommendation is based on a methodology integrating both technical and fundamental signals, with most indicators pointing to caution.
Traders are advised to set dynamic stop-losses, such as at $0.24 USD for long positions, to mitigate potential losses from extended downtrends. New entries are generally discouraged until a clearer reversal signal emerges, such as a confirmed cross above $0.30 USD.