Blizzard can do a "soft reset" by adding level 64 gear slowly over time, but they should only do it once they have a clear direction and stick to the plan. I fear this team is capable of neither.
I agree. But I don't think it's because they're incapable. It's more due to the GAH/RMAH and the players who've sunk lots of actual money into gear.
With D2, because they officially did not support money tied to items, resets and anything else they wished to do were all feasible. The opposite is the case now. Nearly every change they'd like to make has to take the AH and the gear players currently have into consideration, because everything has an official monetary value in D3.