Deciding between Bitcoin and PayPal really comes down to what you're looking for in a payment system. If you're all about that decentralized life and you want to keep your transactions anonymous and fees low, then Bitcoin is the way to go. For a ecommerce business I would always prefer Paypal.
Bitcoin can be applied to e-commerce, actually.
I have seen jewellery shops which also take Bitcoin and others altcoins in exchange for their products. The thing is that Paypal sucks for many people who live in unsupported territories and do not have access to regular banking, credit cards and identity documents, my country is an example of it.
Bitcoin could also be approached because some people may like to have power on the fees they pay to the network, instead being taxed by Paypal in an aggressive manner, with decentralized systems we can balance the urgency of our money transfers with the money we are comfortable paying for the transference itself.
