Very creative and alive, this was a great pleasure to view.
This seems to crack me up every time I glance at it! Its awesome!
Hmm well, looking at it further to see if i can squeeze any crits (more like suggestions) out of it... I think the movement of the eyes seems a bit off with the comparison of the quite complicated animation of the tentacles, perhaps there's some way which you could portray them moving in their sockets (if he has any) or the muscles around his eye er.. twitching...? I also think some more jelly-like animations with the head bobbing up and down could be interesting, but none of this is entirely necissary.
hehe, so cute.