I have had dogs all my life and have never had one that stood up and barked continuously with eyes closed like that. It seems pretty unusual to me, although I've had many that "trot" and yip while sleeping on their sides. I would say that it's odd enough that if your dog does that again, you might want to ask your vet for an opinion about it.
I wonder what would happen if you picked Tinkerbelle up while she was doing this. You might want to be careful, though, because if she's dreaming about something bad, she might make a mistake and nip you!