I think you and I must mean different things by "abstraction." The increasing power and utility, and decreasing size, of modern computers is all the more reason why abstraction is important.
We don't even have to look at the extreme case of de-abstracting down to the hardware level, which would make it impossible for anyone, however expert, to talk or think about a modern application program. Even just in software, I am typing this paragraph into a subwindow in the lower left corner of the browser window. As I type, the software automatically starts a new line in the window every time the word I'm typing extends past the right margin of this subwindow. The people who implemented Discourse didn't have to implement this auto wrap! The browser itself provides that feature to all web pages. That's abstraction! Without it, and the bazillions of other browser affordances, nobody could write a program to add 2+2 and display the result in a web page.
It was in the days of huge expensive computers that I could write programs that did their own input, output, formatting, parsing, and so on.
I can sympathize with what I think you're saying to the extent that I sometimes intensely miss those days when I understood the software I used, and wrote, all the way down to the hardware. (I still took the hardware architecture itself as an abstraction over the electronics, although I didn't have the word "abstraction" in my speaking vocabulary back then.)
But, as I understand "abstraction," you have then and now backward.
About identity politics: It seems to me that the understanding of gender as on a spectrum, like the modern understanding of race as just plain nonexistent, should get us lefties to understand such divisions as entirely a tool of the oppressors to divide us, rather than something to take pride in. And yes, I do understand that I'm saying that as a white, male, err... ace antiZionist Jewish atheist. Nobody is shooting at me because of my race or sex or gender, but they are (sort of) shooting at me because of my religion, and the people who share my religious background yell at me over my politics. I don't take pride in being white, and I recognize how it privileges me, but I don't take pride in my religion -- except I guess for my expertise about smoked fish -- either.
That's what I mean about identity politics. It's not that I begrudge people their identities, it's that I think it's harmful, politically, for people to define themselves as their identities.