I don’t think it’s anything to do with looks. Certainly no need to be wearing baggy clothes. Or downplaying your looks.

Were these men there with their female partners? “I am too pretty to buy my own drink” is a very flirty statement. It’s not actually downplaying your looks but rather emphasizing them. If you wanted to downplay looks, you’d not be talking about looks. If you were there without a man were you trying to get those guys to buy you drinks or wanted them to notice your looks?

There is zero wrong with communicating to people but this isn’t direct communication but just flirting. I don’t think you need to downplay anything about looks with flirting or comedy. Just be who you are. I think regardless how gorgeous you are you could just talk to people like normal conversation, not always joking or flirting. There are topics you could engage in that don’t focus on looks or make/female energy. Books? Movies? If it’s a dance class, different dance styles? Dance in different cultures?

Are you trying to hide social anxiety behind joking? Also do you always seek men company when in mixed company? Is there a reason you wanted to socialize with men in dance class? Have you tried talking to women? Not about your looks of course

In general people are usually suspicious of those who always joke, play and flirt. It’s like they are hiding something or have an agenda.