Grouping 60 buttons in a wheel would give same "analog controls" that you described. Yes technicality of using enconders make it digital in practice. Even if cleverly disguised as analog. Those ticks are very definition of digital. Furthermore I could argue that there's no such thing as analog controls at all. Because software is digital and introduces those ticks by default when engine waits for input. In the original post I just pointed out in brackets little known fact that N64 thumbstick wasn't really analog. That's it.
Precisely because there is no such thing as pure analog controls on a digital system, it makes no sense to be hung up on technical and semantic details and call N64 controls not analog.
Nintendo 64's joystick is, for all intents and purposes, analog: the input (the stick itself) and the practical output (in-game movement) have several degrees of freedom instead of having simply two states as in digital controls. To the user, everything in between that is a black box, which is why in my original response I said that both systems result in analog controls.
I get that we're arguing semantics and technicalities, because yes, 64's analog joystick movement (which is analog) is recorded as clicks on wheels and fed to the board as digital, it's a series of tiny digital signals that allow for analog control in practice. In the end, it's just converting to digital "one step" sooner (and with less precision, at least in this case) than controllers with potentiometers.
We're just talking on different wavelengths, which isn't to say this isn't worth discussing even if off-topic, personally I think it's interesting and educational.