Sure, it would be a weird twist if everything that has happened to Ash was some kind of weird delusion, but that would be just plain nutty.
Yeah, Baal managed to knock out Ash last episode, and now he wakes up in a grimy asylum. Ash is bound and told by his doctor that he’s been there since he killed all those folks in the cabin and he’s supposedly been in that asylum ever since. Sure, Ash would rather be drinking glue and sniffing beer, but instead his right hand is wrapped up tight and there’s a puppet of him called Ashy-Slashy. Kelly’s another patient. Ruby is a nurse. Pablo is a particularly rough orderly. And Linda is Linda.
What does Baal want? He wants Ash to destroy the Necronomicon. Or, you know, Pablo.
The real Pablo.
Who shows up at the end with Kelly and Ruby.
But Ash won’t fall for that. Sure, he got a lot of electroshock with his dead pal Chet, and he seems to have gone nuts and killed the fake versions of Kelly and Pablo and…oh, wait, he did agree in the end. Baal is a persuasive fellow.
I would like that puppet for myself though…