K.H.
Hi T.!
I know this has to be so hard all the way around. You must feel like you're in a no-win situation. First and foremost you need to do what is right for YOU in YOUR mind for YOUR child. No one here or anyone else should tell you what to do. Having said that, I'll offer my *opinion* ... and that is.. sometimes we have to discipline or teach our children things they do not want to learn. Take going to the doctor or dentist for example. Just because they cry and don't want to go, doesn't mean we just stop taking them. I know that's an extreme example, but you see my point perhaps?
My mother let me co-sleep with her until I was 11! ELEVEN! Bad, bad, bad idea. I know you are SO far from that now and its not truly comparable. But because I was strong willed and because she did not want me to cry she caved each time. I couldn't go to camp, spend the night with a friend, etc etc etc until high school. Not a great outcome.
For those who tell you horror stories, you will have your video monitor on for goodness sake. And for those who tell you the "most well adjusted children" are those who co-sleep - that's just plain bunk. My child was a CIO child and she is 95% in height, 75% in weight, has the vocab of a child two years older, and is developmentally much further ahead than her friends.
Whatever you decide will be the right thing. CIO or not. Just know that at some point your job as a parent is to help your child learn to be independent and develop healthy sleep habits. You do that however YOU think is best! Good luck to you!