That's basically what I get out of it. The dresses are about equally similar, and while new Daisy has a different hairstyle (and one could make the argument of a more distinct face, although I'm seeing here that this may not be seen as a positive change), she's much less unique in her overall color scheme. I personally prefer her old design, but she was given more of a personality after the redesign as I recall, so I still like her either way.
Probably because it's the most eye catching place to put it.
But seriously, the animation does look pretty nice. Indeed, the model in general looks quite a bit better than many early Wario models in actual Nintendo games...