Does Strava display live watts while biking? Does Strava display watts from a bluetooth power meter along with a bluetooth heart rate in real time while I'm riding?
Not with the free version — it displays a delayed average. If you sign up for the premium program you get real-time, live monitoring. 

What you can do to get live Watts is to use another program (for example the one provided by your wattmeter) to record and view your data live — then export the track to strava after the fact.