Nothing real earth-shattering there. Makes sense, but so what? Even if 'mild' deflation is the greatest thing since sliced bread (for some folks including myself) that does not mean that that is what we'll see.
I expect that 'mild' will not be a word which is useful for characterizing many aspects of our economy given the machinations required to keep our highly leveraged systems stable as we approach end-game. I believe we are reaching that point and most of my bets are based on this belief.
I believe that since 2008, we actually had at least periods of quite significant deflation. Gold performed perfectly sufficiently to keep me smiling. If the effects of heavy deflation during the next crisis cannot be masked, it will probably be terminal for most fiat regimes which means I'll be happy to hold Gold (and some Bitcoin for good measure.) About the worst thing for PM's (and Bitcoin) would probably be mild controlled long-duration deflation with stable confidence in USD and other fiat. In that situation, I would expect a _mild_ loss of opportunity by holding gold, but I think there is a pretty strong likelihood that that is _not_ the way things will play out.
BTW, why would your ever present fear/expectation of deflation in any of it's forms have a vastly different impact on the value of gold vs. on the value of BTC? I think you've posited the answer is that the world will flock to Bitcoin as it's monetary solution. I still don't see that as anywhere nearly as likely as that the world would move back to PM's in such a scenario (which would almost certainly be accompanied by massive social and technological shifts as well.) But you are as free as I to position yourself for the future as you see fit. At least as long as it is reasonably practical to exchange fiat for either PM's or BTC, and that may not be the case forever.
