I like to watch movies like this and figure out how each character relates to me. I also like to try to connect certain characters to people in my life and this movie has been one of them, I have made lots of connections between the situations in this movie and how they relate to real life situations in my life.
I use pretending, symbolism and connections, I already have picked out what this movie represents to me. It symbolizes my life in some way. I think everyone has a right to decide how movies relate to them and their lives. It is just like picking your own meaning to a song. Nothing beats that.
The first interpretation makes sense, but if you've ever studied Native American spirituality (which many disregard in discussions like this), the Circle of Life literally comes directly from Native American spirituality. The cicrcle of life is the flow of life, just how it happens, and it is not under anyone's control. There are 4 directions, East, which is birth and childhood, South, which is adulthood, West, which is death, and your senior years, and North, which is the dream realm in between death and birth, were you are reborn. The song expands on the Circle of Life. And, as you mentioned in the first argument, a living bieng dies, and another is reborn all every living second of the day. And, under all of the Biblical references, there are undeniably native American themes in the story. The Circle of Life comes directly from Native Americans, there are many quotes regarding viewing nature as your equal, not your inferior. the kingdom represents nature, and Earth. All of the animals appear together in the beginning when Simba is born.
It's the lighter version of Shakespeare's Hamlet. The brother (Scar) killing his king brother (Mufasa) for his kingdom and his wife. And the son (Simba) who seeks vengeance of his uncle after his father appears to him as a ghost. The major difference is, is that Simba survives and takes his rightful place as king, whereas, Hamlet dies fending for his throne.
The Circle of Life is a song that speaks of what goes on every day. Someone dies and another is reborn. The song took place in the Lion King movies. The movie fits the song perfectly about how a cub is born in the beginning and a lion dies in the middle. At the end of the movie, a new lion is born into the world. That is what the circle of life is really about. Birth then death to make room for another.