that's not necessarily true either. with small blocks and fewer tx's, fees would increase substantially (hundreds of dollars) to hopefully compensate for diminishing block rewards. if Bitcoin is used as a world reserve currency, then tx volumes wouldn't have to be high and could be used to settle international balance of payments btwn nations.
Those two conditions are mutually exclusive.
Few advantages an altcoin might have could overcome Bitcoin's network effect, and a three or four order of magnitude reduction in transaction fees is one of them.
well, that's not how things are evolving.
Bitcoin continues to outpace all altcoins no matter what they've promised. and that's despite Bitcoin's 1MB limit.