I looked at the price of the VXX on a long term chart, and saw that in early 2009, at its inception, it traded for over $400. I wonder, if the market traded down to early 2009 levels, say DOW 8,000, would the VXX ever get back to $400? Or does contango decay mean it probably wouldn't? In other words, is there a direct relation between the SP price and the VXX price? Probably not.
I honestly can't imagine a scenario for that to happen. The VIX would have to stay at 80+ for many months. The contango would have to be in steep backwardation. I don't think that it would be possible for the VIX to maintain that high of a level long enough to make it to 400.