You are right on everything except that the majority of people care. When the current paradigm breaks, an even more non free society will overtake. Socialism is on the rise.
1: People will use the most convenient payment method. Not the most private.
2: Governments will condemn the use of anon coins.
The less free the society, the more need and value in privacy. Convenience can rule only until fear kicks in. Anyhow, Monero will only become more convenient over time. Besides which, popular use doesn't really impact the price nearly so much as *large* use. Especially large *reserve* use. People don't get to vote on this question - dollars do (or eur, gbp, rmb, jpy etc.).