I find it interesting that this can target not only creatures, but permanents and players, as I read it. If you target a permanent, will it automatically then become a Nymph, since the other spells don't apply to permanents? Similarly, if you target a player will it only have the option of casting ice bolt or purify, since only those two of the spells can target players?
I also like how since the purify and nymph's tears spells are included in the possibilities, there is a chance of this working against you by targeting the enemy. Balance-wise, I think that it looks okay at first glance, though I'm interested to see what others think of this card. I like that it emphasizes a good, useful permanent for water which plays off of its immense spell artillery which is rarely put to good use in most decks. Nice idea!