I'm reminded of the Jeff Goldblum quote from Jurassic Park.
I think objectively, this just wasn't the right decision. Not everything needs to be updated, and not every character needs some kind of backstory. The grotto portion of the attraction has always been this very unique blend of great vignettes, along with the now restored dialogue about the warning and the curse of the treasure. Having one of them now move around, make a silly face, and then freeze again breaks that atmosphere.
The general consensus online seems to be pretty negative, more than usual I'd say. It will be interesting to see what, if any, their response is.