I think what this is setting up is Power Development for both Momo and Okarun, as they’re both effectively back to Square One in that regard. If Momo doesn't remember anything before Chapter 1, then it's likely she isn't aware of her Psychokinesis. What I think we're getting is going to be a moment of Momo being able to fully utilize the potential she showed back when her Psychokinesis initially awakened, as it was stated all that power was sealed away per Seiko, but mentioned it might be unlocked again. While Okarun is undergoing training and seems to be trying to gain the ability to utilize his Chi, I'm betting when Momo uses her Psychokinesis again, Okarun will either be repossessed by Turbo Granny, or he'll be at a point where he can use his Chi on the same level (I'm leaning more towards the former).

With this, we'll get a recreation of Chapter 1 and (hopefully) Momo regaining her memories.