The election will almost certainly happen if not with absolute certainty. In the history of the republic since George Washington was elected, US presidential elections have never been canceled, and I genuinely don't see how 2028 would be any different. One of the worse case scenarios I could see is that the election becomes "less democratic" and more "controlled", which could signal that the US is indeed on the path to a dictatorship, but it would most likely be a slow process.
That being said, I believe things will get a lot worse before they get better with all the Trump & Musk & DOGE stuff. Resistance against the Trump Administration has started everywhere - people are speaking up and protesting, states are filing lawsuits, judges are blocking Trump's orders, and there are internal conflicts among Republicans on various issues.
It's really easy but also deeply understandable to have a "doom and gloom" attitude. Heck, I was reading some news about the "Nazi Salute" at CPAC the other day, and I even hypothetically thought about what I would do personally if I were living in Nazi Germany 2.0. In the meantime, I have been learning about human emotions recently, and emotions pretty much always come before logic. People tend to react emotionally first and use logic later, and this is especially true on social media. The thing I've been taught - and am trying to do - is to use both emotion and logic to form a more balanced perspective, which is why I want to choose intentional optimism. Current American democractic institutions are being tested, but it's not hopeless.