Yes, even though it is pretty obvious that the dollar is used a lot more by criminals, there are people that still think that Bitcoin is only used to make illicit transactions. Bitcoin has been tied with criminals since Silk Road started to use BTC as payment, and even after it was taken down by authorities, the stigma still remains even today. Also, Bitcoin has been used for money laundering (and it still is being used for this) and other stuff, so there's always going to be a that 'criminal' label on Bitcoin.

Though lately, there have been reports that said the use of Bitcoin for illicit transactions has been declining over the past year since there are other cryptocurrencies that offer way better anonimity. And regulations could also put a stop to these transactions once and for all.

Fortunately, the negative view on Bitcoin has been decreasing, there's no doubt about that, more people are getting into Bitcoin every day, we even saw a bit of a 'boom' back in December when there was a lot of demand and hype around Bitcoin, meaning that despite all the negative labels (fraud, illicit, criminals, etc), the perception of Bitcoin has been changing for the better.