It has being used as payment means for goods on the long run and that has being an innovative system at the moment but the knowledge and usage of Bitcoin has not fully being diversified making it not fully functional.
One thing you need to understand is the government will not abandon fiat which they have full control over just to accept bitcoin which is decentralized as a replacement and besides bitcoin is only a better alternative not a replacement so it won't necessarily overshadow the dollar for payments.
The major thing happening is the dollar is getting less valuable and is getting affected more by inflation and on the contrary bitcoin became a better investment or even store for liquidity. BTC P2P will become more and more popular but it won't overshadow fiat P2P transactions.