Is it wrong for someone to wear something for status? Maybe, but is it any more wrong than wearing something simply because you like it? Those are just different variants of vanity and being that very few people wear clothing only for practicality and functionality, we are almost all guilty of it.
Is it wrong due to the environmental impact? Again, maybe, but then what is the environmental impact of your cotton shirt or your polyester jacket? All clothing has some sort of impact.
Ask the question a different way. Would you rather live downstream of a family who sustainably harvests furs from animals and handcrafts clothing from them, or an industrial textile factory?
In my opinion there is really only one true environmental problem. That problem being that we are far too disconnected from the impacts of our decisions. People react strongly to furs because the connection to the impact on life is clear and obvious. Most people, on the other hand, don't hang out on rivers near the discharge pipe of a textile plant. If they did, the foul stench of chemicals and dead fish might make them feel equally objectionable to whatever they are wearing as they are to furs.
So to me, it doesn't really make sense to object to furs. All clothing has a cost to life. The only difference is that most clothing puts that cost in the fine print, whereas a fur puts it right on the tag. An objection to furs, therefore, is essentially an objection to honesty, and that just doesn't make sense.
And as far as clothing goes, furs are an excellent item. They are natural, they offer excellent thermal and moisture performance, and they are durable so will be around for a long time. We and the world would be much better off if we all wore fur and actually had respect for where it came from as opposed to all of us having dressers full of factory-made clothes full of toxins and chemicals whose environmental impacts we are clueless to.