ten years ago the hiding has been doing what you want it to do. Until then "Hiding" has been a feature to manage the Library view, and remove photos from the "All Photos" or "Moments" or "Days", but leave the in the albums. But quite a few users complained and wanted a "hiding" option to keep confidential photos secrete and hidden everywhere. Now we have password protected Hidden album, but can no longer mange the library view.
As a work around - If you are using iCloud Photos:
- In the recent system versions we can split or iCloud Photos Library into two separate compartments - a private iCloud Photos Library and a Shared iCloud Photos Library. And with just one tap we can switch between these two separate libraries or view them combined. If you move the screenshots to the Shared iCloud Photos Library (just select them, then tap the three dots and use "Move to Shared Library") you will no longer see the screenshots when viewing only your personal library, but will see them when viewing both libraries combined or only the shared library.
The Shared library makes it very easy to organize our photos in two separate sets, if we do not need the Shared iCloud Photos Library to share our photos.
I am using the Shared iCloud Photos Library as a show case for my best photos and are keeping the photos and videos there, that I want to show to others. All other photos, not fit to be shown, remain the personal library. before I show my photo to someone, I switch to the Shared Library. Moving photos to the Shared Library does not remove them from their albums on my devices. I am seeing the same albums and videos in the shared library as in my personal library, just less items.
Splitting the iCloud Photos Library this way will sync to all your devices. But you can access the Shared iCloud Photos Library only on the more recent system versions iOS16, iPadOS 16, macOS 13 Ventura or later.
Using the Shared iCloud Photos Library to have two separate libraries on all devices - Apple Community