I don’t see college admissions becoming increasingly competitive in and of itself a problem. If colleges can keep up with maintaining access and affordability to those who are disadvantaged, then I see no issue. That is a big “if”, however, and will require a lot of increased and continued reflection, planning, and execution.
Let’s remember, most colleges are not facing the arms race of increased admissions competition - only the top 100 or so in the country (and of that top 100, the dramatic changes are really only visible in top 30 or so for the most part). The other 3,000 colleges in the country are still an option, and many are having trouble enrolling students.