You can also get a Video Toaster Flyer (probably the best thing for this on the Amiga. or you can get the cheapest solution which is something like the VideoMaster or the VideoMaster AGA for A600 and A1200 (not really AGA...its only called that because it plugs into the PCMCIA port)
But the ultimate cheapest solution with the best possible capture of video it to do it on a PC or Mac.......save it as a Quicktime and then Using Quicktime pro....convert the movie into individual JPG frames...............then using InfraView on Windows.....batch convert all the frames into IFF or 256 color GIFs.......then recompile the as IFF on Amiga into an Anim8 and whalla! high quality Video!
you could also get the frames into 24 bit IFF somehow and then convert all the frames into HAM8 and put it together as a HAM8 animation..........looks SUPERB!
720 x 480 or 352 x 240 for faster playback and will probably look better than MPEG1