why not 5...Kxf7?
Bughouse Theory
Playing e5 against e4 is really not advisable for a low rated player so first advise is to not use that move. It is good to avoid the complications of nxf7.
Reason for not taking n at f7 is that it opens up your king to be exploited and attacked. Not sure you really get better off by not taking in this opening though as you mess up your kings position regardless of kxf7 or kf8 ... if I was threatened by a q coming for other player I would take b and sacrifice my own q and hope to recover later in game and get rid of the major threat despite remaining in a really bad position also after the q sack ....
But main problem remains to play e5, especially with the poor moves that follows it in this example ...

I do not understand what white expects to gain from this, having sacrificed a pawn and a bishop for a pawn, with an intangible attack. Usually in e4 e5 I just develop my pieces, castle, and then start an attack.

there is some theory in bughouse too, you can find some online. Even on chess.com there are some Sorsi, minigreat and mastertan articles (https://www.chess.com/blog/Sorsi , https://www.chess.com/blog/MiniGreat , https://www.chess.com/blog/mastertanCrazyhouse/light-dark-a-visual-guide-to-crazyhouse)
Other interesting material you can find useful to understand bughouse:
- https://drive.google.com/file/d/0B1t8_q1VJcKJdUxrR3owV1BKcjQ/view Bughouse concepts (by Chickencrossroad)
- https://docs.google.com/document/d/1h72-rRvZAAd-TrKL2L2EOggsQeeaI3_aCQoHkVz1gpc/edit Bughouse concepts (by Blaziken)
- https://web.archive.org/web/20120204054032/http:/personal.atl.bellsouth.net/f/e/ferrantc/chess/bughouse.html (this is a fun one, must read and there are also gnejs comments)
As someone said above, I would advise against most people play e5 against e4. There are just too many sacrifices/tactics that you really need to be confident playing against, and that confidence doesn't come for a while (at least not for me). When someone sacks on f2/f7 in the first few moves, you should almost always take the piece after the quickest of glances as your partner's board to make sure they're not playing some weird opening where a Q and N are coming off the board early.
Small bughouse theory. How to improve it? Make sure to improve your comments too! Also, if you want to bughouse partner me, please send a message