I don't think she is... Why wouldn't he need her wardrobe anymore if she was still alive? Unless he's using it to pay the travel fees. I think she died and that scene was like a blackflash
Flashback*
I think she might still be alive but only has a limited amount of time left, thats why dan decided to get rid of the wardrobe and where would he put the wardrobe he has no where to take it.
You might be right, but it also could have been that they choose to end her treatment and Dan knew she will die really soon.
she will definetly pass away next season. I bet the author will use that for the next meet up of Dan and that horse.
I thought she meant for Dan to skater her ashes into the sea, but shes still alive. At this rate grandma will outlive them all.