But Katrina's coven found Jeremy and entombed him (he had inherited his powers from Katrina, but without training, couldn't control them). (They showed the flashback in the episode.) And the doll had started looking for Jeremy (? I'm fuzzy here...all I remember is that the doll was that episode's bad guy). The coven was (also) still alive, and Ichabod, Henry, and Abbie found them at a carnival show. The doll came, there was a fight, Henry told Ichabod about the blood, Ichabod killed the doll, the coven died in a fire.
And yeah, finding out that Henry Parrish was Jeremy...that was really unexpected.