No, what it shows is that this project is just in maintance mode. There is plenty to be improved, but there is zero momentum.
This is hard for open source projects in general. What it needs is not just a happy user base, but also developers and a strong leader wanting to move this into the future. I think specially the latter is missing. I think Mosh was a great thesis project, but stalled after that.
It has so much potential. I wish they would push this to the next level and do proper protocol documentation and an IETF proposal like an RFC.