my understanding of Liquid is you can still follow the money, but you just can’t see the money
Discussion
Why would you not just use Monero at that point? It's more private than almost everything I have ever seen for Bitcoin.
Why would you want that? Liquid is a permissioned network. It would be a worse Monero.
Short term price flucatuations occur on both Monero and Bitcoin so it's a wash anyway.
Just swap to Monero when needed and vice versa.