That would be pretty bad for a "currency," IMO. People expect some form of stability with a medium of exchange. I hope it just reduces it's inflated cost vs the dollar. I want to see someone like Ebay or Amazon jump on it for trade to force the govt to make a decision. That will give me comfort in using it.
BitCoin is bound for ups and downs given its growing audience. Its price is being demand driven to the extreme right now.
At one point BitCoin went from $32 to $3 per. I don't want to risk getting into it at this point when it's very possible that it shrinks again.
That doesn't take away its utility as a currency, only sets it back. But, it will become more and more stable.
As with the US dollar now, the only stability we have is that it is stably decreasing in value and has been for 100 years.