For starters, there was no XR 70 in 1981. If it is actually a 1981, then it is more likely an XR 80, or you got the year off by a long shot if it is an XR 70.
From there, we need more information. Low compression could be the cause, but you'd need a gauge reading to confirm it. It could be a stuck valve, bad spark plug, something mistimed, or a number of other issues. Was the bike running before this happened, or did you do something to it and then have it not want to run. Without more info, it's tough to give you any other suggestions as to where to look to solve your issues.