Sure they can. DNS black holes can only work when ads are served from a known and distinct set of domains than than the intended website content. If the domains are the same, then one cannot distinguish between an ad and content at the DNS level. In an extreme example, DNS black holes cannot block "baked-in" sponsor reads precisely because those are indistinguishable from content.
Moreover, adblock detectors tend to apply introspection to the page as it's loaded, to see if the ads have loaded or displayed correctly. A DNS black hole will often properly prevent the ads from loading, but this is exactly the situation that the adblock detector looks for. I would not expect a PiHole to offer any great advantage over something like uBlock Origin.
They can't beat DNS blackholing.