Kill the second boss surely! He is the genie in the bottle. He will chase you, run away from him, dont let him hit you. then you must grab him with the power bracelet and chuck him at a wall, i think his bottle then cracks. Do this 3 times, and he will be forced to come out, the bottle is broken. He then starts to shoot fire at you and spin around. You must hit him with your sword but dodge the fire. Hit him about 8 times and you done!
good luck!

maidenfan is right but i want to make sure you know hoe to get to the boss. go to the room where the bunny is trapped by blocks. kill the bunny first, then the bat then the other creature. a chest will appear.