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Just heard about the game, I'm excited to try it out but every time I connect my PS4 controller, it would be assigned to player 1. Any ideas to assign it to P2? Also, when I heard about this, I thought it would be online/local. :/

Yeah, it's unfortunate but you'll have to hook up two controllers to play.   Another option is to play the second player on the keyboard (I think it's 'esdf' for directions and 'q' and 'w' for the main buttons.  This is kinda how pico8 works.

And yeah, the game is designed to be local multiplayer only.  Online is a whole different deal of infrastructure .