Can being honest/giving your opinion be a bad thing?

I think you were good with your dialog. She needed to have time with someone who cared, or she would not have been there for so long with you. I believe that when a girl wants to start a relationship with someone new, she must think it through, take some time to be sure she maps out the right moves toward both men. The right moves to letting one go, and the right moves to get involved again. If she does let the other man go, give her heart time to mend before you approach her about being yours.