How can I make over this wall?

Absolutely remove first. Steaming is my preferred method. Any tool rental will have what you need.

Agree with Naomie. Yes, although it will take some time, if you don't want to be chasing your tail with the problem, the old wallpaper needs to come off first.

Also, that hole made when the towel bar came off will have to be filled properly before the wall is painted. It could have been that the bar was hung with insufficiently supportive hardware in the first place.

The key to removing wallpaper is patience. Soak the wall and let it set a few minutes. The top vinyl layer will come off first and then soak the brown backing, Spackle any defects and then paint.

Here's a post on removing wall paper:

https://www.hometalk.com/diy/decorate/walls/how-to-remove-wall-paper-without-harsh-chemicals-7840556

Remove it. I use a 50/50 mix of hot water and vinegar. Spray bottle or sponge it on. Keep it wet and let it soak in. Scrape off with a putty knife.

remove it first.. it is fairly easy process .... To make that process easy you need to dampen a bit your wall with water from spray bottle

Yes deffo remove all this paper an the backing paper.Or the wall paper you put up next..you will notice an not like the end result. So this is called preping i hate this part also..But preping is the key to a beautiful result. So as others as said dampen the walls..leave maybe 5 mins an scrape useing a wallpaper scraper..The backing paper is the worst..sticking to everything.you may have to dampen again if it drys ..This will make it come off easy i ues only water..i have a steamer..but i do use a old spray bottle also.be sure to get it all off ...then Wipe the wall clean with a damp rag ..As little bits of backing paper can stick on...you dont want this, wipeing the wall you will see its all clear..An preped to start ..i have done my full living room in 2 hours before doing only as i said ..so wont take you long.. Hope this as helped.👍👍