Yes - that’s why i explained two different ways to audition the effect of velocity - one where the parameters are audible longer, and one where you need to retrigger (thus the need to sequence)
You can’t intercept a played note by adjusting that ‘virtual’ velocity ‘slider’ (a played note always takes priority, superseding the level encoder slider) … a played note will take the level to the played level
that’s why i explained its utility as you appeared to be asking about it, i explain how you can answer your own questions, by exploiting teh fact that pitch can be easily auditioned - thus you can determine for yourself how the velocity mod macro works
I give little credence to the phrase you highlighted in bold btw, i’d ignore that, or seek clarification in the documentation topic if you think there’s something amiss (i think it’s operating as intended, which is implicitly less useful than ‘retrospective/additive’ controllers like modwheel/aftertouch etc)