I think this is important to highlight:

Wayland compatibility is part of the long-term plan. The developers say Phoenix might eventually support Wayland clients directly or use bridging tools to run Wayland-only apps in an X11 environment. Running Phoenix nested under Wayland, as an alternative to Xwayland, is also being considered.

efforts to extend Xorg’s life or replace it with similar alternatives continue.

This is 100% true, but the efforts are negligible and not even worth consideration.

• Xorg maintainers are doing just that: maintaining it (and, for the most part, begrudgingly). It will continue to exist for a long time, but that's the only remarkable thing about it.
• XLibre is made by some anti-vaxx conspiracy dipshit who thinks ^ is an exponentiation operator in C and who got kicked off Xorg for being a moron who did functionally nothing of any importance while carelessly breaking things like the ABI. Enormous quantity but zero quality to speak of. It will go nowhere and only has any crumb of relevance because of the maintainer's virtue signaling.
• Phoenix basically just started, yet Linux outlets are tripping over themselves to report on it, showing there's very little real work to speak of in this space. It's a nothingburger of a story. It doesn't even do basically the only thing X11 is even good for anymore, which is support legacy applications.

As GNOME and KDE drop X11 and DEs like Cinnamon adopt Wayland, more and more actively maintained applications will stop giving a shit about X11. Even if they don't explicitly not support it, none of the developers will be using it, and most of the userbase won't either; thus, applications' support for X11 will just rot away if it isn't outright deprecated. Obviously X11 will always have a base of legacy applications, but you're going to be seriously hard-pressed even two years from now to find someone who would use X11 over Wayland – except for specific and severely outdated hardware, conspiracy nutjobs, and the rare case where XWayland doesn't properly support a legacy application.

In 2038, there will be a 32-bit computer with this, sysvinit etc. dying a well-deserved time death.

But why the name? Even Firefox had switch from Phoenix.

The plot thickens...