Well, first of all, hiding content is a very detached concept from "nuking" it.
Second, this situation is more complicated than that. With the pressure from payment processors, Itch needs to be more careful. Many of the games being targeted and removed are done so based on some of the fetishes associated with them. This is due to Collective Shout, a puritan group that has been influencing payment processors to disallow content they disagree with from being sold.
I would assume that NSFW games being hidden is being done in order to protect themselves and developers while they sort everything out with said payment providers.