Sqlite is good for lots of stuff, but you're probably focusing your days on high-scale webapps that want sharding with networked DBs. That's one domain, and an interesting one, but there are lots of others.
I'm a big fan of re-evaluating prior "best practices" in light of technology changes, especially in ways that improve simplicity. Running my family's social media site off a single sqlite DB on a VPS is great. ~15 users, almost zero maintenance. I run my FreshRSS instance off of sqlite, as well as my "now" page. At work, I used sqlite for all kinds of things over the past decades: as an ad hoc job queue, as a quick way to ingest and query lots of logs locally, and present/filter in realtime with simonw's excellent https://github.com/simonw/datasette.
I don't think it's every "sqlite for everything" as much as it is "sqlite in lots of places you probably didn't think to apply it."
kentonv/Cloudflare's work on sqlite at the edge might have made this thinking a bit more popular, but it was always around. https://blog.cloudflare.com/sqlite-in-durable-objects/
I suspect being aware of all those little neat cases and wanting to leverage sqlite for them may be an indicator of experience, rather than the opposite.
> Running my family's social media site off a single sqlite DB on a VPS is great. ~15 users, almost zero maintenance.
Details, please!