Volatility =! decreasing prices. Perhaps you think a 100x increase in price in mere months was somehow stable?
Bitcoin exchange rates have been extremely volatile since day 1. And yes, thats to be expected from something new and unknown, but as long as it remains this volatile, its going to have a damn hard time gaining any sort of traction aside from gamblers and allowing bitcoin to achieve an exchange rate that is more reflective of its performance as a currency rather than purely the combined panic/hype sentiments and self fulfilling prophecies of gamblers.