Switch could still do it, however i believe the switch will drop about 85/90% this year WW because of the increased sales of the switch2.

It could still reach 160,but verry highly unlikely.

I wouldn't be too sure about Switch 2 sales increasing - At least not to the degree where it causes such a drastic drop to Switch 1.

With the rumors of an incoming price hike, that could cause Switch 2 sales to slow to the point where it starts selling below Nintendo's expectations, and so to try and make up the last sales and revenue, they keep Switch 1 around longer and try to support it more as the more feasible entry level system.

Or, they increase the price of the switch1 to make the switch2 look like the better deal. That makes a lot more sense since s2 is the future and s1 is the past.

Because that is what make the most sense for this type of game. Tomadochi Life is about exchanges among the players. They get themselves involved in this game sharing experience for a long time. So you as developer want a huge amount of people in the game, as fast as you can, to build a huge and strong community for many years.

Segregating the audience right in the beggining would cut the excitiment for a long waited new entry.

Let the players get attached to the game first, then , way later, give the premium upgrade, so they are more willing to make the jump to continue their experience.

Animal Crossing New Horizon will be a great laboratory to prove what I am saying.

If my theory is right, my guess is that Tomodachi Life NS2 Ed. will come alongside Switch 2 lite release

Basically what they did last year

That doesn't make Switch 2 look better, that just makes Switch 1 look worse and BOTH of them less attractive.

The people who can't afford Switch 2 currently at $450-500 aren't just going to magically change their minds because Switch 1 is now $250/$380/$450, They're just going to go from "maybe" to "No" on buying a Switch 1 and remain "No" on Switch 2.

The same people who are not buying a ps5 for like 100/150 euro's more then the launch price?

Nintendo will do all they can to make sure the install base of the switch2 is going to increase the fastest way possible,they prob dont even care about the switch anymore, as i said. Its the past not future.

Sadly price increases are just part of the game these days.
Older technology and components don't become cheaper like they used to.

There is no specific Mario Galaxy1+2 Switch2 edition though. It was announced and launched after the Switch2 hit the market. Off course can be played using backwards compatibility. Not a separate SKU though. 

For smaller games like Rhythm Heaven I can imagine just 1 SKU (Switch), since the additional logistics cost of 2 SKU's need to make sense for physical.

I just had a thought:

The worldwide lockdowns during the COVID-19 pandemic from 2020 to 2022 led to higher-than-usual birth rates. These “Corona babies” are now coming of age, which may be contributing to additional Nintendo Switch sales.

Many people believe that the pandemic directly caused extra Switch sales because people were stuck at home. But perhaps that view is slightly off. It may not be the increased sales during the pandemic itself — since many of those buyers would likely have purchased a Switch sooner or later anyway — but rather the additional children born during that time who are now reaching gaming age and driving new sales.