Wrap the yarn in a large loop of about 15″. Use the back of a chair, a piece of cardboard, or your arm. Wind it around about 50-60 times (not too tight).
Position a styrofoam ball inside the loop, right underneath where you made the knot. Carefully position the yarn around the ball so it covers it completely.
Tie yarn right underneath the ball.
Cut the small loops on top to create the hair. Cut the large loops on the bottom so you have large strings of yarn underneath a yarn covered ball.
Separate the yarn into 2 sections. Separate those sections in two, leaving you with four. Separate again to end up with eight evenly thick tentacles. Braid each section and tie off the ends.