Sweet dreams indeed
I'm not sure if it was intended, well I'm pretty sure it wasn't, but it felt like you were expressing delusions of everyday life. If I were apply this to imagery; the dog would be cattle or something ,and the cupcake would be a hamburger. A hamburger looks good to eat but it's still made from a cow. The monster could symbolize the truth that humanity doesn't want to think of; that we are still brutal killers, everyone of us. :D Still. I don't see how a dog is a cupcake... that's primarily why I think the imagery was unintentional. I'm insane and randomly over anylalitical xD
As for the flash itself the pixelated transitions were smooth, the animation was well done and fluid, and the possible imagery was interesting, kinda funny too, great job!