I'm watching on a 2m wide projector screen, and honestly for most movies high-bitrate 720p is still acceptable. Heck, if the movie is good enough I'd even watch it in DVD quality (which is 480p). High-bitrate 1080p is nicer of course, but usually not enough to waste storage space on it. I'd much rather see 3-4 movies in 720p than 1 movie in 1080p (which is about the size difference you get).

I guess different people have different preferences, but for me movies are not about examining the pimples on character's faces. It's about temporarily transporting me to a different reality, starting some in-depth discussion with whoever I'm watching it with, or just making me think about some area of life. Don't need 1080p for any of that, my brain is more than good enough at suspending disbelief with a million pixels at any one time.

Heck, some of my favorite movies have been shot on consumer-grade cameras and film. The medium doesn't matter as much as the direction, acting, composition and cinematography in general.