Guessing you talked to the vet already. It's most likely a reaction to the permethrin. It happens often enough that Ellie's vet has stopped carrying products that contain it for now. It can make an animal feel like something is crawling on them (like parathesia). You'll just have to avoid it from now on.
Whenever this kind of thing happens, they should be bathed in dish soap with lukewarm water (hot water increases absorption) and the vet should be notified.
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