while
takes a command to execute, so you can use the simpler
while ./runtest; do :; done
This will stop the loop when ./runtest
returns a nonzero exit code (which is usually indicative of failure).
To further simplify your current solution though, you should just change your untilfail script to look like this:
#!/bin/bash
while "$@"; do :; done
And then you can call it with whatever command you’re already using:
untilfail ./runTest --and val1,val2 -o option1 "argument two"