Bitcoin slumped 6% Monday, continuing a steep slide and bucking a modest rebound in stocks and oil.

"Bitcoin's value is always driven by the intensity of demand and supply, " says Edith Yeung, a partner at 500 Startups, an early-stage venture fund. "If the miners stop mining, bitcoin will not function...and the overall market will lose confidence. If there is no confidence, people will freak out and sell even more."