The implied context of all this is: what if Bitcoin (or something similar) became a/the dominant currency, that paychecks, debts, etc. are denominated in?
If it doesn't then it doesn't really matter, societally, if it inflates, deflates, mutates, or defenestrates (other than to the people who invest in it...) It'd just be another good, as you say.
You seem, then, to be arguing that the behavior of our currency has an importantly different kind of effect on the overall economy than the behavior of any other asset.
...on reflection, I think that's actually right. Under hyperinflation, people tend to run around with wheelbarrows of banknotes rather than reverting to barter. I'll have to think about it some more.
Nevertheless, I would expect the effects of currency deflation to be limited or mitigated by the fact that you eventually have to buy food.
We've started a habit of creating periodic Bitcoin threads to confine discussion thereof to those threads and prevent excessive proliferation of Bitcoin topics in the discussion section. Here is a link to the last one, which links the other discussions. Lot's to talk about, and another bounce in Bitcoin's value (up to 33 then down to 24), so share your links and thoughts!