(for reference)

The new question: Is Bitcoin truly "a failure", if it was used more as a Store of Value than for "Coffee Transactions"?

My answer: No

While I consider the "store of value" narrative to be a bit of a lame copout ("we failed to make bitcoin feasible for microtransactions so let's invent this other quality for it to have as a replacement"), so long as anybody at all is still using it to conduct "online payments sent directly from one party to another without going through a financial institution", then its not a failure. If every last bitcoiner became a HODLer, at that point I would consider it to be a failure.

As long as some people continue to use bitcoin for that which it was designed and built, it cannot be a failure.