I think that everyone's arguing over different things. Are we talking about movie Gandalf, book Gandalf or Olórin?
Because they are all very different with very different strengths.
Obviously, book Gandalf would win as he comes back stronger than before, and even before he killed a Maia incarnated with its full power before dying himself, which is incomparable to a mere man.
Olórin is the even more obvious victor, as he never dies throughout (though Gandalf the Grey, the incarnation does, he himself doesn't as he's a Maia).
But I think the real question is about movie Gandalf.
As for him, I think that if he can kill a Balrog and break Saruman's staff (both of whom are shown as extremely powerful) he could probably beat the Witch-King. As well as this, the Ringwraiths don't seem to pose much of a threat to Rivendell, whereas in even Lothlorien, in which Galadriel seems more powerful than Elrond with her Mirror and such, they are filled with dread at the thought of a "Balrog of Morgoth".
Obviously, Peter Jackson wants us to think otherwise- that Gandalf and the Witch King are evenly matched, or that the Witch King is even more powerful than Gandalf. But I don't think it makes sense even from a purely "movies" perspective.
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