No he was defeated. Madara thought he killed hashirama and was looking at his 'dead' body. He couldn't even keep his EMS active. Hashi still had enough skill to sneak up behind him and kill him... it's fanboyism saying madara died because of arrogance. His back wasn't turned on the 'hashirama' he thought he killed.
OT: Madara didn't bluff his death. That's impossible, unless hashi is retarded. He would and should have carried madara's body back to be buried or destroyed. Everyone in the village thought hashi killed him, it's most likely that people such as tobirama saw the dead body.
I agree that hashirama won High diff, but that's only because of kurama. Hashi > Madara mid diff, but Hashi > Madara + Kurama extreme diff(Hashi had a hurt arm when madara didn't)