Is Varesa still worth getting from a damage perspective or is she getting absolutely power crept by the new characters?

She's good enough that getting her isn't gimping your account.

She's good and worth it if you like her, but she isn't worth it nor needed if you don't like her (talking from a performance perspective). If the stygian stage favors her you'll be fine.

Pulling on reruns for meta is generally not advised, particulary when it comes to MainDps. Sure, she is still powerfull (albeit reliant on c6 4stars) and if you love her design/gameplay you will clear endgame resonably well and have fun but right now is probably the strongest she will ever be. Mdps glowups caused by new releases are rare and not that impactfull in general. At the end of the day this is a gacha game, new thing will always be more powerfull. Do what you will with this information.

This is a gacha game, no C0 character is timeless. Your expectations aren’t realistic if you think there’s a C0 character that won’t get powercrept.

Just adding on that Genshin hasn't been as bad about powercreep as other gachas. People (with may more skill than me, mind) still 36* Abyss with all 1.0 4* units. Varesa is still strong, if you like her then pull her

thats not how power creep works. power creep is having past units not able to keep up with current content, not new characters being stronger than old ones

The new characters you pull for will soon get powercrept too so...

Most DPSes since Natlan are still up there, even if they're not top 5. She can definitely still clear Fearless on Stygian at C0 w/ Widsidth depending on the boss (like the plunge boss this round). You may need a few tries though. I did it with C6 Chev/C4 Iansan. There's no point in pulling the stronger Nod Krai DPS units anyways if you don't like to play them. Personally Natlan was peak gameplay for me and cons will keep them competitive in the long run. If the game ever powercreeps a C6 Natlan DPS then we're kinda cooked.

she's the strongest Electro dps right now