I think the Esp8266 is fast enough and CNLohr has made excellent and stable drivers for the WS2812B. With 160MHz there is plenty of time to do fun stuff and receive commands over WiFi. I think the limitations lies primarily in the WS2812B transfer rate ( approx=NLEDx3x8x1.25µs + 50µs ). You can probably update several strips simultaneously ( taking advantage of the delays in the ws2812 driver )

My guess is POV & VU meter could very "easily" be implemented with these building blocks ...on a wheel or party dress ...the ball is now yours !

starting point .......

https://www.youtube.com/watch?v=tCmaOb-VAEo

http://forum.arduino.cc/index.php/topic,38153.0.html