It is not good enough for a single country to block the internet. You need to shut off the ENTIRE internet, in order to stop bitcoin.

In your egypt example, a person could simply call up a trusted party, perhaps a family member, over the PHONE, and send their bitcoin that way.

And even if they don't have that, well they only have lost access to their bitcoin for the short period of time that the internet was shut down.

Come back and talk to me about how shutting down the internet is an "attack vector" once ANY country at all has shut it down for a decade, without massive holes forming in there "shutdown".

And seriously, if the world governments have done a complete shutdown of the world wide web, we have bigger problems. That is revolution time.

to be fair basically all of our non-cash money would fail to work in that scenario

bitcoin can work over satelite too, and sms even.

You'll still have 100% of your money instead of 60% in this example, and even if the entire local internet infrastructure was destroyed you could just take a flight out of the country with your bitcoin wallet on a USB stick.

How are you paying for that flight?

With local currency, literally nobody has significant BTC holdings such that they'd be impacted by a measure only targeting >$100K account balances, and not enough local cash to buy a plane ticket.