No, it just means that it’s not possible to do a non-interactive (scripted) CLI login.
In order to use the CLI, you’ll need to use a web browser for the actual username+password login. This login can currently be done with cURL, but when we add CAPTCHA and 2FA that will no longer be possible.
The OAuth flow with callback (the default) is possible when your CLI can expose a port on localhost.
The OAuth flow without callback (with --callback=false is possible when you can paste the authorization code to the CLI interactively.