This volatility is not good if it stays this way, but remember, we are still in the early years of bitcoin. As time goes on, the volatility should gradually change over to stability and steady gain in value.
Athe current situation volatility is quite an attraction to bitcoin. Several investors and speculators are jumping in to bitcoin economy just to take advantage of this situation. This might be not good to those who does not know how to dance with bitcoin volatility but this is great for those who are well versed with it. Bitcoin will be boring and will not cater much attention of it started as stable currency though I believe and I agree once saturation level is met, the price will become stable.