The volatility is really big issue. It makes very difficult for businesses to start using Bitcoin. The exchanges and merchant service providers impose limits on merchant accounts, and the merchant accounts unable to cash out their Bitcoins in a larger quantity. Until this problem is not solved most businesses will stay away from Bitcoin.
it's funny because the only thing that can fix volatility is more merchant joining the party and accepting bitcoin, but they are not joining because of the volatility...
Just patient. As time goes on, there will be more people knowing about bitcoin and they will buy bitcoin so that price will rise. The price rise will attract more people and increase bitcoin acceptance by merchants.