Did you clearly ask the users if you can do it? If not, there's probably a reason why not, because users wouldn't like it if they found out they were being recorded.

Imo, as long as you clearly say "here's the choice: opt in or opt out, we are doing XYZ" in clear words, it's fair.

It doesn't really matter whether on each tap you fire a specific event ("TapOnList", "TapOnPurchase") or whether you log all app interactions (where the user taps, are they going around the app not finding something?). Or does it? Where do you cross the line?

If this app would be Facebook I would see your grievances - devs could see personal data. But let's assume it's an app where there's barely any personal data, or specific views do not have this logging enabled.

Since we are discussing an app store:

"pregnancy tracker"

"democrat donation app"

"cancer survivors forum"

What's malicious about reading all your emails to provide you a better email service?

The monitoring is the malicious part.

Why? The act of monitoring is not inherently malicious. The word malicious has a specific meaning and definition: an intent to harm. A life guard monitoring a pool clearly isn’t acting with malice and yet is monitoring. A store CCTV camera monitoring shoppers isn’t designed to harm but rather prevent harm. So monitoring a webapp may or may not be malicious depending on the intent and effect of how the monitoring is used.