I have only now just begun my playthrough, but the level of detail (using Link) is amazing. The overall graphic quality is noticeably improved compared to Lone Echo 1. There is so much detail everywhere, including your own avatar.
The fact that SDE and Glare is nearly eliminated on the Quest 2 makes every scene incredibly surreal.
My graphics settings are set to "low" since I have not upgraded my graphics card, and the game still plays and looks amazing. Screenshots never do it justice, but hanging out in the room with the new AI and your human companion is incredibly fun.
I just started playing, and if I'm not mistaken... there is a new feature in Lone Echo 2 where the NPC's recognized gestures. I was making some hand signs and they were totally calling it out. I can't wait to explore this further!