Not really. Your first paragraph is also true for JS (think of ES6 "class" syntactic sugar). Some browsers implement the DOM in JavaScript (https://www.chromium.org/blink/blink-in-js, http://www.phantomjs.org/, https://github.com/andreasgal/dom.js). And there are things like asm.js and even Linux VM running in JavaScript (http://bellard.org/jslinux/). JavaScript/ECMAScript is one of the most misunderstood languages, please read up before jump at conclusions.
This is precisely what Kay is arguing against in his second point. In Smalltalk everything is an object including classes but there is a sharp distinction between a class and other objects and it's very important to make this distinction. It's important to be explicit about which level you are operating on.
In general arguments about one thing being better than another because you can express one in terms of another don't hold up. Then you can argue that assembly is the most powerful of all. (see also the definition of Turing Tar Pit)