First off, 60-70% of teams do not beat the #1 ranked team. So far this year, Kansas St. and Tennessee are the only two to do that to my knowledge. Those 2 don't equal 60-70% of teams.
As for March, as a fan I've been on both sides - one where my alma mater (Davidson) exceeded expectations with a pretty remarkable run in the tourney, and the other where my hometown team (UT) didn't go as far as I expected. And neither was a true indication of the team's performance during the course of the season overall. Each was a case of the team getting hot and clicking (or not) at that time. That's March - it rewards a lot, but it doesn't reward the other 30 games prior to it. And if it were your ONLY barometer for success, every team but one is a loser.
To yours and Hat's and anyone else's points about the games that matter - what's the point of a regular season? Hell, what's the point of us paying one lick of attention to any home or away games? Just pay attention to what teams do in neutral court games, because that's the only real indication of what will happen come March. Wonder why fans don't see it the same way?
Put another way, if college football ever implements a playoff, will we stop caring about beating Alabama or Florida, even if one of those teams is ranked #1 at the time?
OF COURSE March is the biggest stage, and I agree with all the drama you write about it. But amid our obsession with March Madness, we're seemingly completely devaluing and undermining any regular season accomplishments. As a fan, I choose not to view it that way.