| No, there is no penalty to close this account, and it appears based on the information you have stated, that the account has in fact lost value!
Unfortunately for you, the loss in the account is not deductible on your personal account, and since there was no gain, any transfers out to your regular savings account would not be subject to any penalties and there would be no negative tax impact to you!
However, my question to you is why would you want to withdraw these funds from your 529 Plan as the market is starting to recover? You will lose the potential gains that the market is currently enjoying and you may miss an opportunity to recover your losses and perhaps some more! | 
