Hey, Ben!
I have been listening to you devlog podcast, and was excited to try this demo. I think you have a very good thing going here (he said after playing through the entire thing 6 times).
I really like the progression system. Having plain upgrades (ex: more damage), risky upgrades (more damage, less health) and long term upgrades (+0.1 damage per buy or something:PP) makes each decision just a little more engaging.
Furthermore, the art-style is cute, movement feels fluid, enemies are varied and funny, and I think that your core mechanic (positioning) is very well highlighted.
Which brings me to my next point. You have been talking a lot about the difficulty of the game. Specifically, how some of the feedback has led you to think that the game is sometime unfair in cornering the player into unescapable situations. From my personal experience, that has not really been the case. Most (99%) of the times I have taken damage (I feel like) it has been my own fault exclusively. That is not to say that I haven't been cornered into unescapable situations. But being in such a situation due to your own positioning is something quite different from being forced into these situations by an unfair game.
I fear that trying to make these situations less frequent would take away from the deeper aspects of the main mechanic, which is to not only position well for the current state of the game, but also thinking one or two steps into the future when finding the optimal position.
That was way longer than anticipated (I know i tend to become very vocal when writing). I hope you understood my main points:PP That being said, I am really looking forward to seeing/listening to the progression of this game. I had a lot of fun playing this demo, and I will definitely buy the game if you keep up the good work;)