No. Bitcoin is not silently losing against privacy coins but it will go reverse instead and I don't think there is war against each other because they are far from competetion. In my own opinion privacy coins are only capable of dominating online transactions and governments will surely prohibit the use and trade of such privacy coins unlike Bitcoins that is accepted in some countries and central banks so I think that is one of the advantage of Bitcoin in terms of adoption and usage. The governments will think that those privacy coins are made to be used for criminalities and any illegal activities because it has tighter and untraceable technology.
exactly. the two different types of coins dont really serve the same function. bitcoin is the prototype, so of course its the most integrated (ETH is gaining on us). but most reputable companies dont really/wont really accept anon funds, its illegal a lot of the time, and poor pr. why would starbucks accept a "dark coin"? seems like an easy way to get the brand associated with something that might make the news in a bad way.
most people dont really give a fuck about their privacy, truly. they wouldnt use the internet if they did. so outside of privacy advocates and black market transactions, whats the use?
and hence, bitcoin will not really lose ground to grey crypto assets, as it is the gold standard.
bitcoin is useful as bitcoin. and dark coins are useful for those that need shielded transactions.