We live in an increasingly statist world, especially in America where the national state is becoming all but totalitarian, limited only by politics. The punishments for defying the state in order to follow a higher ethic are becoming harsher as the drive to eliminate dissent progresses. Concentrating authority, power and wealth in the hands of the political and cultural elite is the only bipartisan work underway in Washington. To preserve western civilization, your own family, your faith, i.e. the most important things in life, you have to decide whether you will goosestep along in the progressively more rigid line dictated by government or make a stand against its advancing fascism. Loyalty to your own is one of those higher values to be weighted in that decision.
I would say it only appears that loyalty is dying. Millions of people are keeping it going in their daily lives. They just don't talk about it. To do so is to court attack from the statists.