As 2025 draws to a close, a polarizing debate has emerged within the crypto community regarding the performance of major altcoins, with XRP identified as a primary contributor to portfolio erosion. Crypto commentator Leshka recently labeled XRP as one of the assets that "destroyed investors' portfolios" this year, citing a 42% decline from its local peak. While the headline figures suggest a severe contraction, a deeper analysis of 2025’s price cycles reveals a more nuanced reality where the timing of entry specifically around the "Crypto President" inauguration rally determined whether investors faced significant losses or substantial gains.

I. The 42% Decline: Contextualizing the Sell-Off

The claim that XRP has "destroyed" capital is largely rooted in its performance relative to the massive rally seen in early 2025:

  • The Inauguration Peak: On January 20, 2025, during the inauguration of President Donald Trump, XRP surged to a peak of $3.34. This "Crypto President" rally saw the asset jump over 60% in less than three weeks as the market anticipated a hyper-pro-crypto regulatory environment.

  • The Retracement: Since that January high, XRP has steadily retraced, currently trading around $1.91. This represents a 42.8% decline from its yearly peak, positioning it as an underperformer compared to Bitcoin, which has shown greater structural resilience throughout the year.

  • Peer Comparison: While XRP’s 42% drop is significant, it fared better than other highlighted "portfolio destroyers." Assets like JITO, BEAM, and TIA recorded staggering losses of 89% to 91%, while SHIB fell roughly 72% from its 2025 highs.

II. Debunking the "Wipeout" Narrative

Despite the sharp decline from the peak, technical analysis suggests that the "total wipeout" narrative is mathematically hyperbolic for many holders:

  • Entry Matters: An investor who bought at the exact $3.34 top with $1,000 would currently hold a position valued at approximately $571. While a 43% loss is painful, it is a far cry from the near-total loss (less than $100) suggested by some social media commentators.

  • The Long-Term Buffer: Conversely, investors who entered the market in late 2024 when XRP was trading near $0.50 remain in a highly profitable position. A $1,000 investment at those levels would today be worth roughly $3,820, demonstrating that 2025’s "destruction" was localized primarily to those who chased the inauguration-day hype.

III. Conclusion: A Lesson in Market Reflexivity

The 2025 performance of XRP serves as a case study in market reflexivity and the dangers of "event-driven" investing. The asset’s 42% decline from its January peak highlights the immense sell pressure that followed the speculative frenzy of the presidential inauguration. While XRP did not suffer the 90% collapse seen in smaller-cap altcoins, its inability to maintain its $3.00+ valuation has undoubtedly weighed on year-end portfolios. For 2026, the focus for XRP holders shifts from political hype back to fundamental on-chain utility and the actual implementation of pro-crypto policies.

⚠️ Important Disclaimer

This analysis is for informational and educational purposes only and is based on analyst commentary and market price action. It is not financial advice, nor should it be construed as a recommendation to buy, sell, or hold any security or cryptocurrency. The cryptocurrency market is highly speculative, volatile, and subject to external factors. Readers must conduct their own comprehensive research (DYOR) and consult with a qualified financial advisor before making any investment decisions.