Some parental advice from all the lovely parentals? Non parentals also welcome :D

[Aroura]

There is no known or demonstrable academic advantage to skipping a grade.  There are, however, known and demonstrable disadvantages that range from social issues to the reduced likelihood of things like sports scholarships.  I'd say that you might want to approach the question under the assumption that there is no academic gain to be had, see what it looks like when the metrics are different.

I think the advantage would be that my daughter graduated to a 5th grade reading level yesterday and she is slowly growing to hate school because "it's sooo boring". The academic disadvantage to being in a grade well under your level is that you get frustrated and discouraged. I want her to be somewhere where she can actually learn new things.

This is such an important deal.  You don't want your kids to hate school.  This is the #1 reason I home school, because I can go at her pace, so she isn't bored or pushed too far, either way.  If I could have pushed her ahead a grade and had that solve the problem, I probably would have chosen to do that, but the schools around here suck, and they refuse to even test for gifted kids, because the school board has decided it is divisive.  There were severely mentally challenged kids in her class that did not qualify for special needs, and I think it was because the school got money for each of those kids in a class.  They also seem to want to diagnose every child, weather particularly slow or especially quick, as autistic (because this also gets them money).
 
I would have to get her into a better school in another city that does have gifted programs, and we did try, but the waiting list was almost 2 years!

Anyway, it is ultimately up to you, but I agree, this isn't bout academics, !t is about keeping your child the happiest she can be in her learning environment.  As her mother, you will be the best judge of that particular metric, with her input. Good luck!