Same problem here. I can't find any utility tool that can convert 128x128 images to tiles rn. If I use pixsy for example the editor breaks. I'm not sure what exact changed have been made to the game data file system yet. Can anyone help?
I grabbed bitsy savior and it has the old version of bitsy. That worked for me!
Hah, I just booted up savior when I read your reply. Works for me as well. Thanks!