Yeah, I agree the dress is still rigid. I'll work on that when I get a break. And yours looks good, the 'squishing' has kinda grown on me :) so keep it as is.
One tiny little nitpick I see is that once the animation is done, Necturna 'freezes' for a fraction of a sec, and it makes the loop point look kinda obvious. It could be a little more fluid, but apart from that (it's not a big issue anyway) your sprite looks great!