While I would like to sit here and break the movie down for you—perhaps do a shot-by-shot analysis of a short scene—every time I try to watch it with an analytical eye, I just get swept up all over again in the story, the cinematography, the production design...
There's a lot going on here. Like, a lot a lot. I can't imagine a musical about a East German semi-transgender rock singer (and philosopher) not having a lot going on in it. I'm always seeing new things in Hedwig, falling in love with the "old" things all over again.
Every piece of the film seems to serve its project, down to the casting. Hedwig is played by John Cameron Mitchell who is (as far as I know) a cis-man. Hedwig's current lover, Yitzhak, a supposed former phenomenal drag queen, is played by a (as far as I know) cis-woman, Miriam Shor. In fact, even talking about Hedwig as "transgendered" or Yitzhak as "a drag queen" seems incorrect because of the associations we have with those words. In fact, to even talk about the genders (and sexes) of the characters requires a long narrative full of ifs and thens. This holds up a big, flashing neon sign that says, "Gender is performative!"
Gender in the world of Hedwig is also completely unstable. No one has an "actual" gender. Everyone can—and will—be transformed.
This time, I was especially struck by Yitzhak's transformation—which happens by magic. Hedwig, who has ripped off her drag, hands the blonde wig to Yitzhak, who wears a white suit and bedazzled white bandanna: very drag-king bridal. Yitzhak places the wig on his head and leaps off the stage. The complete physical transformation takes place as he lands in the arms of the crowd.
Feathers and a butterfly!
The wig is magical, but its magic affects everyone differently. Hedwig is never as free with the wig on her head as Yitzhak is.