Can sibilance be eliminated?

Yes. I would start with power conditioning and resonance control. There is a wealth of info in the thread archives. Digital playback does not have to be annoying.

I have a CD only system & it has great detail that exhibits no sibilance but I wouldn't necessarily say that was a condition relegated to digital payback. Your system synergy (or lack of) will have a lot to do in determining what is the best direction to go regarding your particular problem.

Since you did not list any of your components, it's difficult to even begin to offer suggestions, as it could be any number of things.

I would start with microphones and the rest of recording equipment first.

Sibilance is a natural occurrence in song/speech. 99% of the recordings I've experienced depict this (100% of the older live performances I've attended as well, prior to them receiving digital help/bandaids in the "near" real time).

Other than teeth/mouths/tounges it's also influenced by microphone usage skills.

Certainly it can be blocked/filtered by various means, but to do so will also be @ the detriment of other portions of the music.

My main speakers for 8 years were Ls3/5a's (the industry standard for reproducing speech) and they portrayed such S's with aplomb.

Too much, however is too much, but a certain amount is considered to be normal.