It does look super cute!! c:
What I suggest, is making the arms that lay by the side of the head smaller, so proportionally it looks like it fits on the head better.
Think of it like a helmet with the ears poking out.
The "straps" or "arms" would be a little skinnier than the actual base, and then the ears would fit perfectly over the original ears, with the animal face of the hat being centered right on the top of the hat. c:
But!
That is how I would make them, and you have your style that is uniquely you ^ ^