Bitcoin velocity also connected to BTC fees, so if we can improve there and make fees lower, velocity would be higher.
I would like to see charts of Bitcoin Velocity compared to recent failed currencies in Latin America and Venezuela for example.
We have to take in consideration that Bitcoin is used there, and lot of that is not even registered, as some consider it illegal.
What you say was right back in 2017 or early of 2018, but now I think it is not right. Fees of Bitcoin transactions has become very cheap and does not an issue when people want to use Bitcoin as means to transfer their funds.
The barrier that hinders Bitcoin from massive acceptance is its too long block time (10 minutes). It means people have to wait at least 10 minutes to see their transactions get first confirmations. If in the future, developers can reduce block time to help Bitcoin users having confirmations faster, I think the really big explosion of Bitcoin will occur. Lightning network has not yet shown its good effects as we expected.