Why aren't we together????, I don't understand... Options

[sweetest-emotion]

Okay so I've like this guy (borderline love) for about 2 years. I finally told him I like him last christmas. But the timing wasn't right...or so he said. We go to different colleges in different states, so you can see how hard this could get. So I figured to wait until summer to see if things could work.

We would talk online or text everyday it seemed. I would always confide in him my problems and him to me. We know stuff about each other that no one else knows. So summer came and we hung out a lot. And finally I asked him what his problem was. He's so hung up about his ex that the last 2 "girlfriends" he's had, he's cheated on with his ex. He said he didn't want to do the same to me because he cares about me too much. I mean when we had this talk he felt like such an ass because he was so confused about everything. Again, it seemed like the timing wasn't right. But I'm always going to like him. For some reason I have this gut feeling that him and I are like soulmates. We're so good together!

Then, about 2 months later, he tells me that he's dating this girl from him work. I try to act casual, but inside I'm hurt beyond belief. I don't get it!! He gave me the b.s. excuse that since we're so far from each other at school, it won't work. He's never told me that he likes me only as a friend but I'm slowly beginning to think that maybe he does...
What do you guys think I should do?? I want to tell him that he hurt me, but I have a feeling it will just open up all new problems and may uncover truths I don't know if I'm ready to know. And on top of that, she's 17, he's 19...when you're 23 and he's 25, thats no big deal, but around this age it is!
I just think I can be perfect for him. But I just don't know how to tell him...