I would disagree about capitalism being on the rise. Marx and his views grew after the 1850s and communist / socialist revolutions spread throughout Europe. There may have been more discussion of "capitalism" and an increase in industrialization, but "capital" had existed and operated for centuries before that. What changed was who owned the capital and how it was managed, specifically there has been a vast increase in central / government control.

I think this centralization of authority over capital is what has allowed for the power of lobbying, etc. A billionaire could previously only control his farms, tenant farmers, etc. Now their reach is international, and they can influence the taxing / spending the occurs across the entire economy.

Similarly, local communities were probably equally (likely far more) mislead by propaganda / lies. However, that influence tended to be more local and aligned with their own interests. The town paper may be full of lies, but the company that owned the town and the workers that lived there both wanted the town to succeed.

He predicted capitalisms fall, (which happened in the 1930s) but didn't predict that instead of the workers uniting and rising against the bourgeoisie that the bourgeoisie would just rebuild it and continue oppressing the masses