"everyone's good"
Rosalina may be an issue in the customs meta though.
But otherwise, when most people were putting Diddy/Sheik a tier above the rest, and most characters worst match ups were against these two, we're now looking at what's going to be a pretty stacked upper tier of good characters:
..
If I were to guess what Sakurai's internal tier list was, it would be something like:
(maybe just next to Diddy Kong, if the Link main funeral is any indication)
..(A LOT OF CHARACTERS)..
Honestly, this is going to be interesting.
I don't think Sonic's nerfs were critical enough to truly hurt him, especially in customs meta.
Sheik's dtilt probably now combos into something that kills even better than it did before; functionally she wasn't changed. Bair to bair to bair probably works now for all we know. Lack of needle changes is what's going to allow her to maintain quite a bit of her menacing tendencies, but that bair hit could be a lot worse than I give it credit for.
Pikachu's two worst match ups (IMO) just got culled, and the other girl in that basket was ZSS. Ledge nerf hurts Pika in some ways, but it isn't going to be overtly noticeable.
Loves the Diddy nerfs. Sheik may start to creep into her favour by some people's standards now (although time out sheik probably wins :<)
Luigi got tapped lightly on the shoulder if we're to consider nothing else. His "niche" for Diddy may have just been hit though, we'll see.
Diddy could be a lot weaker with customs off than before, I think it'll have more to do with any fair hitbox changes whether he's especially blasted, because otherwise he'll still have insanely good option spread with a good deal of underappreciated options. We're going to be seeing a big shift within 2 weekends I think on whether this character is still "real" or not, I'm pretty sure we're going to see an exodus either way.
Falcon being mostly untouched worries me, I still don't really know what this guy loses to. I never really bought Sheik being a counter with the kill power discrepancy, the match up probably won't change too much from this though. Looking forward to more FULLY COOL SICK HYPE FUN FAST GAMEPLAY OF JABS, BACK AIRS AND GRABS, YEAH YEAH YEAH.
Fox who I was calling as third not too long ago... probably looking even better, but I won't be proclaiming Melee 2.0 yet. Mixed reports on his jab, but most say it still functions the same as before, meaning yay for ABUSE.
Ness, who everyone has practically forgotten about. Untouched... yuck. Kill the back throw and buff everything else, I'd be fine with it, BUT NO. Really underrated here most likely as a sneaky return.
Rosalina has come out really unscathed. Fortunately only one player in the world has any idea on what to do with her right?
Yada yada, I think realistically Sheik, Sonic, Fox are going to be top 5 still. Rosalina is going to be looking a lot better too, likely sneaking in as well. For 5th I'm not sure, it could be Diddy, Falcon, ZSS or Pikachu in my opinion.
KIRBY IS THE DARK HORSE.