I think no longer being able to pinch to dismiss egg hatching is a side effect of them removing all the multi-touch "functionality" (which was pretty buggy and quite possibly not intentional).
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Multi touch was indeed buggy. sometime if you used 2 fingers to heal 2 pokemons it will lock the screen into thinking you are using 2 fingers even though you are using only 1 causing the player to reboot the game to fix it.
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Oh. Seriously? We can no longer heal multiple pokemon at a time? bleh.