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Bitcoin approaches its worst bear market, down more than 80% from the top

Measured in dollars, the damage of this year was much more significant. Approximately $ 700 billion has been wiped out of the global cryptocurrency market capitalization by the maximum, according to CoinMarketCap.com data. The price of a bitcoin has declined by over $ 15,000 since December.

Bitcoin has skyrocketed to reach its all-time high of nearly $ 20,000 in December 2017. The CEO of Coinbase said this summer that at the height of this boom, the exchange opened 50,000 new accounts a day, for most investors retail. The historical maximum also arrived in advance on the availability of bitcoin futures. Even these products have fallen. On Monday, they moved to the lowest levels since the launch.

Trade volumes also drastically declined. Bitcoin's 24-hour volume was about $ 49 billion a peak, and from Monday it was down 61% to $ 19 billion.

Even some bitcoin bulls are anticipating short-term carnage.

Anthony Pompliano, founder and partner of the cryptocurrency Morgan Creek Digital Assets, predicts a decline of 85% compared to the historic high. This would make the crisis of this year the second worst bear market for bitcoins, implying a price of around $ 3,000.

"We'll probably still have a little more," said Pompliano at CNBC's Squawk Box Monday.

Yet, Pompliano is bullish on its long-term value. Despite the volatility, it has remained above 400% in the last two years, far exceeding the 20 gains of the S & P 500 in the same time frame.

"Until 2017 all buyers were retail – as the price declines, start seeing institutional investors enter," said Pompliano.

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