China recently banned all financial institutions from dealing with bitcoins..
China Bans Financial Companies From Bitcoin Transactions - Bloomberg
All it takes is ONE piece of legislation PROPOSED to regulate or shut it down in USA and your going from $1000 to under $100 very quick! After the Chinese news it dropped 20% Why not use e-gold instead. Then volatility is limited to the price of gold (or silver), which believe are both heading lower for an extended period.
Paying for gear... I would rather eat the $25 WU fee than lose much more than that inside a day on the swings bitcoin has. I don`t own any.
Another shot at bitcoin, Chase bank is supposed to be coming out with their own "anonymous" internet payment system similar to bitcoin, releasing next year I think.
Here's How One Mega-Bank Is Trying To Crush Bitcoin (AMZN, EBAY, GOOG, JPM)