First, I think it's great and 100% appropriate to reward milestones (financial and otherwise) with consumer items that you value and will remind you of said milestone. I have a pair of gemstone earrings that I bought in my early 20s for $400 during my first solo trip abroad as a token of my independence. I bought a $750 Tiffany necklace for myself to mark the passing of my CFP exam years later as a symbol of my intelligence. I think of those experiences every time I wear those items. Both were big budget items for me at the time, and now 10-15 years later the cost seems irrelevant. I'm currently searching for a ring to remind me of my resilience after enduring and coming through a marital separation this year. I've never regretted anything I've purchased along these lines, including less meaningful but still fun celebratory purchases like $500 shoes with this or that bonus in any given year.
Also, I particularly like the connection between a net worth milestone and a wallet. Every time you pull it out, you can alternately be reminded of your future net worth goals (and therefore be nudged to spend less) or be reminded of how far you've come (and enjoy whatever it is you've decided to spend your money on more with that in mind).
However, this statement is completely subjective. Many people think this, and if YOU and your peers in your area associate this brand as being the best (or one of the best) and of high status, that is great. Clearly on this forum that is not the case - ha! But even in materialistic brand centric circles there are alternating opinions on every brand. There are plenty of other ultra-luxury designer wallets that compete with LV on price point and status and may excel in quality. BUT, LV is one of the most recognizable logos/brands, which may be more relevant. And LV is certainly associated with prestige and exclusivity in general.
Yes this is mostly true, though again, it depends on who you are trying to impress. I definitely agree that I'd rather have a small LV clutch purse than a piece of Coach luggage. They may cost the same, but Coach is a much lower tier brand and much more widely available.