Crypto is not money, it's a technology that makes it easy to track and transfer units out of account in a trustless way.
Most would confidently argue that stablecoins are money. I would argue Bitcoin and Ethereum are also nascent forms of money, but that's outside the wider tech/platform point.
How would you word it?
Even the peer-to-peer usage is primarily driven by enthusiasts and spot-traders. Cryptocurrency's only future is being treated like ERC-20 Pokemon cards.
> They will always be inferior to the dollar purely on the virtue that they rely on the value of $USD to exist
As long as you can access / cash out from dollars, yes. Most people don't have this privilege or access to first class financial services.
Usage: I agree that usage is currently being driven primarily by enthusiasts and speculators, but in the last 3 years its changing fast... Here are some links. https://news.ycombinator.com/item?id=33723425
All three of your reasons boil include the word "money", which shouldn't exist in the same sentence as "cryptocurrency" unless your wallet is totally liquid (it is not).
I'd like to believe in next-generation tech like this, but misconceptions like 'crypto == money' will bring this industry crashing down time and time again.