Complete Wifi detection loss

In the last few days my iPhone's 3g Wifi has been flickering up and down, from 3 bars down to 1 bar every few minutes or hours. Earlier today it was down to one bar for a few hours, and then it just stopped detecting anything. The phone detects no Wifi whatsoever, it doesn't work next to the router or a few feet away from it. My PSP detects 100% Signal Strength, and the lowest it gets in the house is about 75%. My phone is jailbroken, but its been jailbroken for months with no problems, only started acting up a few days ago. It is not unlocked or anything, I'm on At&t 3g service. I've rebooted, reset network settings, Wifi is turned on, and it shows my Wi-Fi Address in the "about section in general settings". Tried doing some research on this, and didn't find much at all, and I'm not looking forward to restoring the phone.
Would be nice to have some info on how to solve this issue or anything in that category.