I think you can have magic and supernatural options without being so gonzo that the game becomes supers masquerading under a fantasy aesthetic.
I've said this in other threads, but I think D&D could learn a lot from professional wrestling. Yes, obviously, pro wrestling contains things that are not real. However, even with Undertaker being an undead wrestler; Hulk Hogan essentially being a paladin fueled by the power of Hulkamania; etc, there is still generally an effort to portray things as a "sport." Even if it is one with very loose rules, the rules are still there. There's still a referee and defined conditions for how things should go.
Similarly, even though fantasy can do essentially anything because "it isn't real," there should be some attempt to make it seem like the character who just wants to swing a sword and the character channeling otherworldly power exist within the same set of ropes while fighting monsters.