65 at the top of final is fine because it keeps you nearest your best glide speed, once you get below that you're 'on the backside of the power curve' and it will require more energy to keep on a glide path for the runway. If you are on a short steep path already and the numbers are moving down in your windscreen with the throttle closed, you can slow down early to increase your sink rate.
This! Ask your instructor (or yourself) why you use any set speed in the pattern. It's all about stability (there's probably a better term for it somewhere) and efficiency.
(Ignore the airspeed numbers, for a Cessna 172 Vmd, or min. drag, is around 75 knots) Near the bottom of the power curve is the maximum lift to drag speed, it's also the stablest. At this point on the power curve the plane will naturally try to recover a set airspeed if you change the pitch. Makes a great pattern speed. A bit above this speed is the speed I think makes the most sense for a long, straight in approach (instrument approach) as it's stable, efficient, within the region of positive command, and not too far from our short-final speed that we can't dump in some flaps and get down to our target landing speed with any real difficulty.
However, it's too fast to land at (by far). Lower than this speed you're in a region of negative command and you're dragging the plane in to landing (think slow flight, or a high headwind landing). So, what you need is an approach that gradually slows down from the stablest speed in the pattern to your target landing speed while minimizing your time in the region of negative command. A higher airspeed at the start of the pattern also gives you more airspeed for emergencies, keeps you near to best glide so that you're almost trimmed and set for an engine-out, and gives a larger margin of error against stalls.
Thus, 85/75/65 is my target speeds in downwind, base, and final. I usually use minimal power adjustments and hit these speeds almost entirely with flap extensions in the 172. I've heard of 75/70/65 as it's a more stable attitude with less adjustments, and closer to Vmd, but it requires too much fiddling with power for my taste and I like the higher speed for safety and efficiency in the pattern.
Other things to keep in mind are headwinds and crosswinds. A rule of thumb I use is if I have a crosswind or headwind greater than about 10 knots then I use 20 degrees of flaps only (runway length permitting) and add half the headwind or crosswind (whichever is greater) to my final airspeed.
Lastly, on short-final I will usually be down to about 60 knots, then over the numbers I should have been power off and slowing to my final touchdown speed.