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In short: yes. And do wRPGs healthy sales performance outweigh the lack of Final Fantasy/Dragon Quest/KH titles? I guess they do. But wRPG and jRPG are so different they are almost considered 2 different genres.

wRPGs are better than ever this gen (sales-wise), quality-wise they are in a constant decline though. jRPGs sell the same they always did, but there are not nearly as many of them on current-gen consoles as there were on PS2. This+lack of FF/DQ/KH titles+the fact that console jRPGs this gen are split between the 3 consoles (while last gen almost all of them were on PS2) makes it seem like the genre is dying.

I think jRPG genre needs a blockbuster title to gather some interest of masses. Once it happens things will start getting better. However, it is already clear that the home for the genre this gen is DS and not the consoles. I dont think this will change.