So I went to stillwater and talked to the elf, then trapped the bunny (its in my inventory)

Went to taurant

talked to the museum guy. Convo didn't go so well I guess, but he said something abou tonly real pelt is at the other dudes place.

Waaay earlier I'd killed the guy with all the fake and stashed the fake pelt in a chest somewhere.

I went and got the pelt and talked to the museum guy but nothing. He doesn't initiate any kind of conversation, just blows me off.

Do I take the pelt and the caged bunny back to stillwater ? I just feel as if something broke and or I missed a step.

this game is too much tiney text for me and stuff.

Usually, you'd take the pelt to the elf and initiate a conversation with him about it.
If the elf is dead, which I think you've stated, you should loot his corpse or conjure his spirit from the dead.
Looting his corpse should yield an amulet which is plot-important to a lady in Shrouded Hills. If you already sold that amulet and can't find it now, try to find a Scroll of Conjure Spirit.

If his corpse isn't there so that you can neither loot it nor conjure his spirit, then you may have been a bit hasty.
I wonder what would happen if you kill the herbalist in Shrouded Hills, then conjure her spirit. Probably nothing helpful. I'd rather not test it.