It's hard for people who are new to the political process to understand that Ron Paul comes from a long and distinguished tradition of extreme nutbaggery. These are the people who think that The Trilateral Comission, The Council on Foreign Relations, and Colonel Sanders are controlling the world. They won't invest in the stock market or put their money in banks because (they believe) the banks are run by Jews. They buy gold instead. He's basically Dale Gribble with a lot of appealing catch phrases.
Most of the press understands this but they find him amusing so they won't completely torpedo him. Either that or they're hoping he will be a more prominent factor in the process say at the Republican Convention and they can torpedo him then when it can do more damage to the GOP. (I'm not completely immune from the conspiracy temptation myself)
For some background on the paranoid conspiracy strain in American politics, check out:
Charles Coughlin - Wikipedia, the free encyclopedia
John Birch Society - Wikipedia, the free encyclopedia
Also: