Interesting concept. At first i thought the moon was eating the tree (i now realize those are the trees arms). I'm not sure how i feel abut this but it definitely makes you wonder what you are looking at.
I can see what you mean, though I think it's pretty clear what's going on. The mouth is easy to move if it would be needed, to make it look more like a hug.
About my design
Score & comment like mad-people!
:)