Health restoration trinket makes it a piece of cake too. You regen faster than you get damage. And indeed, that dragon needs to check distance better, and maybe target you. Oh, and move twice as fast. Or just make it summon more, and on both sides of you (including big creatures ;) )
To prevent dying on the last level: On level 31 you have those big snakelike thingies coming from the ground on those two top platforms. They cannot reach you in the lower part. Sit there and use up magic to gather healing and those skull-like magic thingies. Two of those clear out level 35 nicely.
Had played it before, so got the card and all the badges on the first game:
Only get the artillery upgrade (can get that on the first day already). Then put all cash in repairs, only get a bit more health if you mess up and the ship gets damaged. No max health though, nor other upgrades.
Nice game, but in the 'pong phase' the ball can get stuck in the walls. Moving away from the wall means you lose a life, but not moving away means the ball pretty much moves in a straight line and you cannot win either.