I think we dance for all these reasons and many more. The most important thing though is that praising and glorifying God comes before all of these reasons. When I dance I somehow feel closer to God. Maybe that is because I forget about everything else. I forget about the test I have to take on Friday, I forget about the argument I had with my sibling, I forget about all the economic worries and hard times. I forget everything, and when that happens there is nothing that stands between me and God.
I know it may be hard, if you dance at a studio where not many dancers are Christians, to forget everything as you might want too, but God wants us to dance only for Him. Not for our teachers, not even for ourselves, only for Him. The Lord delights in the praise of His people, and Psalm 149:3 says, Let them praise His name with the dance. Dance is a form of praise and the Lord delights in our dancing! What a marvelous thought! Every step we take God is delighting in! He is leaning forward to watch us. We are dancing before His Holy Throne.
Why do we dance? We dance to glorify our Lord and Savior Jesus Christ with every step we take.