Absolutely the best thing that may happen to a backpacker in Egypt is to visit Sun Hotel!!! It is located in Tahrir Square, two hundred meters only from the Egyptian Museum, and close to the bus and railway stations and every landmark in Cairo. It is clean, the beds are fairly comfortable, service is decent, and the prices more than reasonable.
But what makes this hotel extraordinary is what Ramy, the tour operator of the hotel, can offer to a traveler. If you plan to see the most of Egypt, which is what I guess the most tourists want, this is the best choice you can make! When at first he offered my girlfriend and me a tour of Aswan, Abu Simble and Luxor with accommodation, transport, tours and guides included, and all that in only four days and all that for THAT price, we thought he was joking! What do I think about that offer now? It was undoubtedly the best trip of my life!
First, Ramy can help you with the student cards, which enables discounts for every public place. In Luxor and Aswan his representatives are responsible for your accommodation and tours, they are accurate and at your service 24 hours. The hotels you're staying in are excellent and have breakfast included. The best guides, e.g. local hero Dr. Hadi in Luxor, are provided. And, finally, they are 100% reliable. Really, it's the best choice you can make! Don't hesitate! You can't make such a tour on your own, and certainly not for that cheap!