Bitcoin in a deflationary world

So the shitcoin fiat fiasco is going deflationary now and people are going to hodl their cash like it's real money.

I'm not sure how to process this in bitcoin terms: if demand for fiat increases does that mean bitcoin priced in fiat goes down? does the extra demand mean fiat liquidity dries up and the central banks print to the moon? if my horse has six legs will it run faster? I'm confused!

Does anyone have a bitcoiner overview of how deflation is good for bitcoin? I think jeff booth talks about this, and everything is good for bitcoin.

Also, to all those people having a rough time in the world and being forced to sell to pay bills: don't worry! Bitcoin is meant to help in this way, and it will be there in the future.