My question, is the price volatility of BTC more of an advantage than disadvantage to traders?
Imagine the price bring flat, 1 btc =32000 for now on for 6 months!
What are you going to trade? It will be like trading saudi riyals to USD, (the riyal is pegged at a fix value to the USD), how and why would you do this since there is no way to gain anything? Great volatile means both better gains and bigger losses,if you don't know what you're doing stick to forex markets where 5% a day comes once a year.
The way you're describing trading as gaining only when the market and is green and losing when it's red makes me think you would be better with just holding, an experienced and also lucy trader should be able to make profits no matter how the market is going.