Number of connections says 0 in and 10 out (I thought only 8 were allowed out?).
There are two additional block-only relay nodes ontop of the usual 8 nodes, which is why there is 10 now. Anchor nodes were introduced in the more recent versions to protect against eclipse attack. You cannot increase the outgoing connections through addnodes.
I'm unsure about this terminology. Is outgoing connection for me to get new block information from other nodes and is incoming connection for me to broadcast my own transactions out there if I were to use my full node with my hardware wallet?
You don't need incoming peers. Your connections are bidirectional, meaning that you will receive and send data like any other nodes, be it block data or transactions, regardless of your incoming/outgoing connection counts. The incoming nodes only means that certain nodes are connecting to you, to receive and transmit information. In a similar sense, you are connecting to nodes that allows incoming connections.
You definitely don't need incoming peers to use Bitcoin. If you're behind a NAT, you have to port forward your port 8333.
The network cannot survive if there is no peers that would accept incoming connections, because that would simply mean no one can connect to each other. Privacy is unaffected by your incoming/outgoing connection counts. There are countermeasures against topological analysis within Bitcoin Core.
