Cute entry! The town felt a good bit like an animal crossing town. The grid movement felt good, the graphics were great, the city was set up well and I really enjoyed the different magic animations. While unfinished, I liked there was some options to go into an arena, the dungeon or outside the town to hunt some creatures.
A few issues - the UI never seemed to update for your magic or health and as you noted, there were some bugs with the enemies not attacking. Also the dialogue was a bit nonsensical and served little purpose. There was also some weird graphical issues with the fog in the distance.
With some extra time you could have a cool cozy crawler with some animal crossing vibes to play! Gameplay here