Obviously you get lots of scratching in Hip Hop, and a fair bit in Breaks and Electro.
I've heard quite a few D&B DJs scratch.
It's rarer in Techno, but there are still some people who do it well.
Space DJz, DJ Bam Bam and Jerome Hill come to mind.
I definitely think there's a place for it in modern dance music, for sure.
So long as there are turntables (vinyl or otherwise) there will be scratching.