That depends really, look at smaller countries where they have experienced hyperinflation.
It is rather ethnocentric to think in terms of dollars as many other places have their own dollars, but really bitcoin represents a paradigm shift. Its movement from one nations market to a global one.
Hyperinflation is damning to a nation as their dollar really loses any credibility. Talking about needing to be a millionaire to buy a loaf of bread.
https://www.thebalance.com/what-is-hyperinflation-definition-causes-and-examples-3306097I personally believe that this will win out because its like saying one nation will win versus the world, which is a fallacy in and of itself no matter what some world leaders would like to believe.
As far as Bitcoin not being a payment method of choice, I agree. But the general concensus seems to be that Bitcoin will take the place of value storage because we may see these 50k price points in our future.
Now I'm no expert, but I have been around long enough to see that Litecoin and other alts were touted to be bullshit verrry early on, with people believing they would crash into nothingness. For example, in 2015 when the market hit a sinkhole, I ditched my mining operation and sold off around 70 litecoins for about 3.50-5 bucks a piece.
I am constantly paying for that mistake as if I had held those coins I would be sitting on 40k USD in profits considering they are now selling for around 50 and earlier this year as high as 65.
Only time will tell, but as we see more and more other digital assets and alts being traded for fiat, it is not out of the realm of possibility to see one of those as the payment method of the future and Bitcoin simply a catalyst.