I managed to stumble upon a second magic fish, it barely lived long enough to count before it died. I was in the process of researching level 3 and now that I've got that, I'm going to try again to get a new one. I still have both parents and they are pregnant now. Hopefully with the level 3 environment, and the level 2 food (research level 3), and all the plants, they will be healthier.