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Hi this is Dr. Hill. Pleas give me a moment to thoroughly read your questions.
Let me first say that I am so sorry about your mother. If was kind of you to take in Daisy and continue her care. From what you have told me thus far, Daisy is a diabetic. Finding the right amount of insulin to give can be a little tricky initially. My concern with her deterioration is that she may now have ketoacidosis. This occurs when the blood sugar has been elevated for a long time. The body cannot utilize glucose for energy, so it uses alternative energy means which cause a build up of ketones. The ketone buildup causes many different issues and will make Daisy very sick. Ask the veterinary hospital if she is ketoacidotic.
So, anemia (low red blood cell count) may occur due to: ***** ***** loss of production, or destruction (the immune system destroys the cells). They are likely doing an ultrasound to look for a secondary disease such as cancer, kidney disease, etc. You can get a syndrome called Anemia of Chronic Disease, where the red blood cells are lower because of a chronic illness. Please ask additional questions.