Maybe or maybe not. I would say yes, on this occasion, there is a good chance of going that low. But the only predictable thing about short term swings is that they are mostly unpredictable. Very easy to lose money trying to pick tops and bottoms. Instead, figure out your long term projection of price, and then devise your strategy to eliminate the risk of short term volatility.

Buy and hold is the simplest way to do this.

@MatTheCat: I hope we do go below $800, and you get to buy your cheap coins. Out of interest, if we recover from here, and go above $1000 again, do you have a price at which you will buy back in, if it continues to climb?