You’ll return to the auditorium, where Pauline will ask if you want to participate in the festival. You can decline and continue exploring New Donk City, but the festival isn’t too long and it’s a nice break. Accept her invitation to begin, where you’ll appear by the Odyssey. The spark pylon leading into the city has been replaced with a pipe that will demake Mario into his 8-bit self. The festival is basically 8-bit murals strewn across the city, complete with a catchy tune. In the first section, you’ll need to dodge some barrels, as well as gaps that have barrels with fires.
Continue to the right, jumping and hopping over the obstacles, until you reach a pipe, so take it to be brought to the next section. This time, the barrels start above you and will roll to the right, so time your run to the right (the blocks are nothing but coins) and get in the next pipe. There will be no dangers here, but the path will curve to where Mario will be upside down. For this area, the barrels will be “falling” from the bottom of the screen, so you’ll need to be careful.
See those coin blocks there? Jump while on top of them to reveal some hidden blocks and on top of those, you will see a pipe. Enter the pipe to find a hidden area, with a bunch of coins and of course, a Power Moon (Celebrating in the Streets!) . Return through the pipe and dodge your way to the right and into the next pipe. The second to last section is another danger-free zone, with a lot of coins to collect, then it’s time for an awfully nostalgic final area. Dodge the barrels as you ascend to the top, where a familiar face is waiting. Hit all four question mark blocks underneath your adversary, then enter the pipe to be brought to a stage. Speak with Pauline here, once you’re done enjoying the music, to get a Multi Moon (A Traditional Festival!) .