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I thought it was pretty apparent that was the case.

Good question. I am assuming that its like either like a split personality where this this second personalty called "Killer Frost" which takes control at certain times or if she is upset. That is my theory.

Why the bleep would using her powers make her "evil" ?
One second in the show she is fine then evil as she smashes Barrys legs then two minutes later she is ok again after he confronts her. The show is beyond stupid at this point.

Seeing how her eyes glowed, we have not seen the last of Killer Frost. I don't want Caitlin to be a villain forever just for a short while for fun.

She can't, she's frigid.
Where are the Asian characters DC CW? #MoreAsians

She needs to bang Barry, maybe infront of Iris

She will no doubt be back again. In what fashion and how much in control of her powers remains to be seen.

It depends on what the show goes for. Arrowverse is known to kill off main characters and the Flash has been relatively lucky in this regard when compared to Arrow and Legends. If they want to go full tragic villain then she might get killed. It is interesting to note that currently KF has joined the JLA in the comics and the story arc is about whether a villain can truly change and become a hero.

Prediction, she will really need the bracelets at some point soon and Zavitar will come in and steal them when shes trying to turn back
No point trying to show mercy to the stupid, they wouldn't know what to do with it anyway

As long as she has the Power Blocking Bracelets on, what does it even matter? She can use her powers, then put them back on, and her powers/transformation is suppressed again.
Its not a permanent fix. But it should work.

Umm the kind of cheese this show is producing, it's obvious she'll use them more, have trouble controlling herself when its convient for the plot
No point trying to show mercy to the stupid, they wouldn't know what to do with it anyway