the big problem is that Chinese has not back out, I watched the 1996 Taiwan crisis and this is way bigger. I have never see China surrounding this island in such massive way. Military commanders are seriously freaking out. I think the Chinese are pushing things towards the edge to see with how much they can get away with or how close they can get towards a full fledge invasion.
One single miscalculation and we have a gigantic crisis in our hands.
We already have a massive crisis on our hands. China's military gets to be more aggressive, and the noose is tightened ever-tighter around Taiwan's neck. Militarily, this is a disaster for America and the secessionists.
PR wise, however, this is a disaster for the PRC. Not only is the international public laughing at China, even people on the mainland are outraged at how tepid the response as been so far. Whilst China might manage to salvage a PR victory in the near future, that will depend more on signaling than anything and I think most western (read: dominant) media will be clowning on China and downplaying how significant intruding on Taiwanese near-shore areas is.
This is a persistent problem with the PRC's utter ineptitude at the propaganda space. As long as they don't even have a competent propaganda mouthpiece like Russia, Qatar, or the UK does, their signaling will always be spun by the western media sources in a way that is completely outside of their control.