I'm really enjoying the rougher versions of these characters. I especially enjoy tortured artist Gonzo, smacking a rock with a hammer shouting "Art! Art! Art!" then getting offended when the uncultured rubes in the audience can't appreciate his brilliance.
Kermit is especially prickly. His fury at the banana sketch is the funniest joke they've had so far. He's just straight up a jerk. A lot of people complained when sitcom Kermit showed his manipulative side, or when movie Kermit acquiesced to kidnapping, but I feel like Season One Muppet Show Kermit would be down with both those things.
There was a meme on gay Twitter a while back wondering why Bert and Ernie have the reputation as the gay Muppets when Statler and Waldorf are right there in an opera box throwing shade. I was incredulous, as S&W show a lot of thirst for the female guests, but not the male ones, and Waldorf mentions having a wife. But then they were dancing together in the ballroom sketch, sooo... bi Muppets?
Also, Uncle Deadly is the actual gayest Muppet, and I'm glad Muppets Now leaned into his queeny side. I didn't realize he debuted alongside Vincent Price! Everything about him makes so much more sense now!
Phyllis Diller is the best guest so far. The humans work best when the Muppets are able to subject them to the same good-natured cruelty they show to each other, and Diller is so down. I adored that the finale was her playing "The Entertainer" poorly, with everyone else on stage clearly very uncomfortable and just wanting the whole thing to end as soon as possible.