I can transmute Volatile every 2 hours. Each transmutation gives 15 or 16 Air/Water/Earth.It looks like I'm going to need truckloads of volatile everything to get the high level tailoring cloth.
To make one piece of Dreamcloth, I need 8 bolts of Embersilk, and 30 Volatile anything. I get one recipe for each volatile type, and each recipe has a one week cooldown (so, technically, I can make 6 dreamcloth a week, but I would need 30 Volatile Air, Water, Fire, Earth, Life, and 5 Chaos Orbs).
The recipe for the 24-slot bag requires 8 dreamcloth.