Yes something is going on. You need an ortho vet to do a full examSomeone showed that picture on reddit cause they thought it was cute. A vet said they should get it checked out sometime because even though it looks cute, it usually means the dog is relieving pain from the hips. When you mentioned the knees, it seems to me, they are trying not to bend the knees. I won't put her on a leash because she just bunny hops which is similar to that picture. Her Hind feet are up by her chin (not bent at the knees)while she propels herself with the front feet . I'm looking at dog insurance.