My edit definitely didn't address all of the underlying anatomy issues, but respectfully, those legs are pretty long! The fingertips of a relaxed arm usually come to almost mid-thigh. In order to make her relaxed arm go to mid-thigh, you'd have to imagine that her crotch is way up here:
(forgive my sketchover, I'm on trackpad)
Which makes the legs almost twice the length of the torso. Shifting the crotch down would make the thinnest part of her waist way too high, as well as violate the hand rule. In my edit, the waist is still too high, as mysterymeat pointed out. Changing the height of the legs without changing their shape also highlighted that they're too triangular. In this pose, the legs shouldn't just taper to a point, they should have something of a subtle hourglass shape. My head edit also makes the skull disproportionately large for the sake of readability/fixing facial anatomy, and combined with the semi-realistic proportions of the rest of the sprite, it unbalances the image. That one's my bad.
Because you're looking to animate this sprite, I'd actually suggest going with something more similar to the sprite you initially posted! This pose isn't super suitable for a walk cycle, since people's feet aren't pushed together when walking.
(that edit's looking much better, though! whatever you decide to do, keep at it!
)
