In addition to the quality and mastering of the 4k content/discs, the end result is all also highly dependent on the chain of devices you are watching the content on.
The TV needs to be capable of displaying decent HDR images in 4K preferably with Dolby Vision, and you need to have configured it properly. It’s also dependent on the device supplying the movie, so a decent 4K blu ray player will supply a far better picture with Dolby Vision and full atmos sound whereas an Xbox or PS5 won’t. Lastly the HDMI cable needs to be the correct standard. If you’re using an Atmos sound bar, make sure it’s connected to the tv using e-arc or you won’t be getting full atmos and ideally you’ll be using a seperate AVR which has HDMI 2.0/2.1 sockets or better and e-arc and the decent speakers to back that up. I wouldn’t like to guess the percentage of people that think they’ve setup the devices properly but actually aren’t watching/hearing what they think they are...the number of atmos soundbars I’ve seen people connecting up with optical cables or Bluetooth!!!
I was using the Xbox as an 4k disc player with a QLED Samsung 4K and I wouldn’t have ever said I saw much difference between blu ray and 4k discs previously, perhaps some nicer resolution and colour space. However I recently upgraded to an LG OLED and a dedicated Panasonic disc player and wow, the difference is very noticeable in terms of video and atmos audio.
The 4k disc versions supply a much higher bitrate for the content as others have noted, so streaming is just convenience for the moment, not for quality in my opinion. As TVs get bigger and better hopefully people start to appreciate higher quality, assuming they understand how to set these devices up optimally and manufacturers concentrate on fidelity.
It isn’t right that people that value the quality that only disc offers and have invested in the devices to display it might have to make do with poor streaming quality that compromises either dark scenes or doesn’t offer the full capabilities of atmos because companies stop producing 4K discs or it gets put into a niche category like Laserdisc back in the day. At best, it’s a retrograde step until either compression improves or internet connections do.
The blame also falls on device manufacturers for not making it easy to config all the stuff to work together, often because of copy protection or hardware standards which shift every couple of years.