Yes, it does feel like denim, but not denim you would want to wear. It's a sturdier, thicker type of denim compared to today's denim for jeans. Maybe more like a jean jacket from the 80s?
It's a good thing though- helps it keep the bag's structure and yes, I do think it will hold up well. I was a little nervous myself to buy it before even checking it out in person, but I love it and have no regrets/concerns. I had to look up jacquard- that just means that the LV logos/motifs are just woven into the denim, not printed on.