yeah what kaido said about luffy also applies to him. "they wont believe you lost" "i should have just cut off your head and shown it to them". if luffy just punches kaido really hard no one is going to believe he's really been beaten. and theyll be right not to
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i think one major thematic element that isnt talked about enough w this fight and the wano conflict is that its actually in a way the opposite format of every other big fight in one piece. i think you even talked about it recently. I'll use the SBS quote since thats the best source on this idea.
so heres the inversion: Kaido actually STARTED the arc with his dreams already crushed. He's explicitly depressed, suicidal, at a low point, drinking himself to death, has no opponents left, hes just killing time until he dies of old age while he ruins everyone's lives. What Luffy is actually doing now is giving him his dreams back. He's rekindling an old flame of romance and adventure with Big Mom. He wants to find the One Piece again. He's having the best fight he's presumably had in decades if not his entire life. He has a new rival. He's smiling in almost every page he's in now.
Based on what we know about Haki and emotional/mental state, and what Kaido is saying in this chapter, there's a very real possibility that he's actually getting stronger, not weaker. His haki has every reason to increase in power the more he's enjoying this fight and feeling like he's in his glory days again. It's not like Whitebeard, where he fought against thousands of men in complete despair because he was watching his family be torn apart in front of him and was unable to stop it. Kaido is having a great time! He's happier than he's been since he was a teenager! Luffy might think he's winning, but he's just giving Kaido more of a reason to come back and beat him the more things escalate.
Like, it was even shown in this chapter. Kaido was winning. Luffy powered up and became the most ridiculous and unpredictable fighter we've seen in one piece yet and Kaido is still one step ahead and dodging lightning bolts and using Luffy's own bounce power awakening against him to do bagua combos. Luffy's not breaking Kaido's dreams, he's rebuilding them.