Plasma's XPL token has plummeted over 80% from its September high of $1.67, now trading at $0.309. The token's value fell 13.6% in the last 24 hours, leading to $8 million in liquidations. Despite raising $74 million from investors including Bitfinex, allegations have surfaced that the team engaged market makers to short XPL, a claim denied by founder Paul Faecks. Originally intended for stablecoins, Plasma's blockchain is now primarily a lending protocol with $676 million in total value locked. However, it struggles with low transaction volumes of 14.9 TPS. With staking postponed until 2026 and limited utility in reducing transaction fees, XPL risks falling out of the top 100 cryptocurrencies.