Aha! I know the answer to the second legend! It's actually not a giant ghost goat, it's a goat on one of the higher levels. Here, let me explain:
When a player is on one of the lower levels, all of the higher levels naturally would get in the way of the "camera"'s view, making it nearly impossible to see what you are doing. Know what I mean? Well, to fix this issue, when a player's "camera" is blocked by a higher level pathway, the pathway becomes transparent, allowing the player to see where they are going. The giant goat you are seeing is actually a normal sized Caretaker hopping around one of the higher, faded-out levels! I have seen giant players through the same process!
Hope this makes sense!
P.S. I wonder if the yeti feet will play a part in future stories or if it was just the graphic designers having fun? XD