What about the dream lands? what about the street (a terrible story by the way)? what about yig?
What ABOUT them? None of these contradict Hiryuu's point. Humans can't understand these events, characters, and places, but according to Lovecraft, they are natural, scientific occurrences in the Cosmist universe. That they contradict what humanity knows about the world DOESN'T MEAN ANYTHING except that we're ignorant.

Now technically for some of that stuff paraphrasing girl genius any sufficiently analyzed magic is indistinguishable from science. but by that logic "magic" does not exist in any medium a dnd magic is just science we don't understand and really arguing that is going to get neither of us anywhere.
Except settings where magic is truly random and beyond the world, and can't really be understood and has a will of its own and is possibly even blatantly divine. You know, like the World of Darkness, or Kult, or even just certain D&D settings.