I said it before i will say it again the big sister lost her right to act as a proper and true family member she didn't act in the first timeline at all and now she feels guilty...OUTRAGEOUS!!!
My little one you are too good of a person in this life since you don't want revenge and merly wish to abandon them after you did your(although the elder sister dosen't deserve it)outmost to help her get what she wants you must follow through with that conviction
I'm actually betting on the sister being the one who used the regression magic. After all, the one who uses it needs the jewel and won't remember anything but what if she used it in hopes of the little one having a good family and life instead of the awful one she had? She wouldn't remember but she had in the past life opportunity to get everything and do it. And with her little one having the adult brain, she would see through things that they didn't see through as kids. And wouldn't keep running and escaping from her just because she's "scary".