So long as you're not having any trouble distinguishing your dreams from reality, I say enjoy the craziness. The most vivid dream I ever had was when I was 20 and on a big vampire kick, burning through Buffy and Angel with a friend while also reading the first few Anne Rice books, and to this day I have the very clear memory of drinking dry a 4 year old girl and loving every moment of it. Probably the weirdest dreams I ever had were when I was playing a MUD (a text-based multiplayer RPG) called Aabahran: The Forsaken Lands and I quite literally had dreams that were in text - the best analogy I can give for the experience is the scene in The Matrix where Cypher points at the screens showing matrix code and says "I don't even see the code, just blonde, redhead, brunette..." In my dreams I saw text, yet it was always immediately translated in my dream-mind as images and events as well, if that makes any sense.
If it starts to be too much, try to lay off the fiction for a bit - read some nonfiction books, go outside, chill with friends, immerse yourself in reality for a while. An active imagination is a good thing, an imagination that runs away with you can cause problems.
Now, if you're having trouble keeping your dreams and reality separate, I'd say seek professional help immediately. Mental health isn't something to play around with any more than physical health is.