The Dartmouth analytics say that is true. The top 1% is taking from the top 10% in admissions.
That said, your view that they need "trauma" to get in is very wrong. You need to find a hook. The hook should be positive and not negative. (Why should they let you in to the private club?)
Source: I've gotten my kids into 6 Ivies. Non-athletes, white, public schools, and I am not a doner.