Despite a brief rally on Tuesday, European stocks have fallen steeply during Wednesday trading, with the STOXX Europe 600 falling 3.2 percent to 322.29 percent, the lowest the market has gone since October 2014, according to MarketWatch.

The renewed decline in the market reflects the underlying fear of investors as the global economy reels from declines in the energy sectors. Among the shares that suffered on Wednesday, it was the financial, oil and gas shares that lost the most.

The results of Wednesday's trading stand in stark contrast to the market's performance on Tuesday, when the pan-European STOXX 600 finished over 1 percent higher, which was primarily attributed to the release of Chinese data that came in line with the expectation of financial analysts, reported CNBC News.

With the oil market still neck-deep in crisis due to oversupply and weak demand, it is not only the STOXX 600 that took a blow, with numerous indexes also registering a decline on Wednesday's trading.

The FTSEurofirst 300 slumped by 2.8 percent, the lowest it has gone since 2014. The Euro STOXX 50, the euro zone's blue-chip index, also fell by three percent, and Germany's DAX slid 2.6 percent, about 24 percent below a record high it registered last April, according to Reuters.

Andreas Clenow, a hedge fund trader and principal at ACIES Asset Management, believes that Europe's market would probably not exhibit any recovery within the next few months.

"I am quite pessimistic about the equity markets for the next two to three months. I do not see a 2008-style scenario, but I do see a bear market coming," he said.

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