Is it possible to die because of a hydrocele?

No. A hydroceled does not harm the patient or the testis. It is just accumulation of body fluids around the testicular sac.
No,... In reality, I have never known if a man even died of hydrocele itself in my 45-yr study and practice in urololgy. But, theoretically, if the hydrocele is related with infection or tumor and left untreated timely, sepsis or cancer can kill such man. Nowadays, we would not expect that would happen.
No. A hydrocele is a benign condition and is not at all likely to cause death. Many men have hydroceles and do not necessarliy require treatment.