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I play Destiny 2 on my Asus ROG Ally almost daily, and have played lots of PVE and Gambit, but hate Crucible. It’s really powerful, so I think it’s possible to play competitive games on a handheld if you’re comfortable with using a controller. Of course, you can plug it into a monitor and use the XG Mobile to get a decent graphics card. So yeah, I think a handheld can hold up to a gaming PC if you temper your expectations. You’re not going to be playing at 4k, 120 fps, but instead 720p 50-60 fps. Good enough for casual play all the time.
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It has competitive modes, but I don’t know how well it would do at tournament play. I’m not a big fan of PVP, but I’m pretty sure the Ally is powerful enough to play most of those games if you lower the graphics to get a nice FPS. I just cited Destiny because it’s what I’ve been playing lately.