He is crying because the direction signpost is mixed up.
Tiffi brings a whistle, blows it which causes a bigger Coco-looking rainbow to arrive, causing the signpost directional arrows to stop spinning.
Full list of appearances
Coco is a minor character in Candy Crush Saga. He is a 'little rainbow guy' and encountered in the 60th episode, Coco Crossroads. Before introducing level 876, he is crying because the arrows on the direction signpost are continuously spinning. After completing level 890, Tiffi brings a whistle. Then, she blows it and a bigger Coco-looking rainbow, who is probably his father, arrives and causes the signpost directional arrows to stop spinning. Coco throws the umbrella to the bigger Coco-looking rainbow which responds by twitching his eyebrows. Coco gets happy and makes a pose.