Hey..you have a year left to step up your game. Do it.
I was in a similar situation this time last year at a similarly prestigious tech school. I took tons of hard/grad classes and had a low(er) GPA. In the past year I busted my ass (well, with regards to everything BUT grades - I just can't seem to bring myself to care about them) and by the time application deadlines rolled around, I had a couple of papers submitted, a couple of cool/patent-pending projects, and another paper in progress. As of now, I'm in at at least one "serious grad school".
Your gpa is pretty much what it's going to be by now. You can bring it up some and you should certainly keep it from dropping, but work on the other stuff. Find some legitimate research opportunities and work on making sure you'll have good LORs.
Oh and make sure you apply to more than MIT/Caltech/Stanford/Berkeley.