So Bitcoins are arbitrary in value, which obviously fluctuates more than fiat paper money, rather than being a standard of value / medium of exchange.

At the rate described that would be a recipe for financial disaster because it is a monetary system with no boundaries of fluctuating values.

At least with gold there is a tangible boundary because gold is a chemical element that cannot be created nor destroyed, and is easily determined to be debased by its special gravity.

Bitcoins are just another Scam like paper fiat money. The predictable impending collapse of a baseless monetary system will be similar to the historical fate of other fiat monies