Yes, the bible has exaggerations and some details based on history, but that doesn't make it any less a fictional book. I'm sorry but if anyone takes the bible literally as fact word for word, they are crazy IMO and no different then those that believe Zeus makes lightning.
Mythology should be the classification
That's right. Because many will follow those parts of the teachings which inspire them, which is generally to be found in the NT.So, if the bible is full of exaggerations, so could mans interpretation of what God (should the Christian God exists) actually said. This is what I find so fascinating to me. Christians (for the most part) on one hand, thanks to science, finally believe that the book is not 100% fact, yet declare the parts they want as fact and discard the rest.
Others can believe in God without following any religion. Or enjoy parts of a Holy Book while ignoring others. You seems to be looking at a 'one size fits all' situation but it is seldom there.