Why not a high rise bar? Try an old X-Lite XC from ebay for cheapness – they had a really nice rise to them. Or XC-2 for a little bit lighter.
Don’t go much wider than your shoulders for XC or you’ll be hitting all those trees when it gets tight.
Don’t shorten the stem unless the cockpit is too long – it doesn’t look like it is if you use those bar ends.
Several people on the turner mtbr forum run 120mm forks on their fluxes with no problem – it is actually 105mm at the back so less mismatched!.
What hubs do you have – you may be able to put some form of larger axle on the front for a bit more stiffness. Some hopes take a 9mm axle and so you could try that with you current forks.
Try a wider front tyre – different tyre with more grip.
I have managed to set my seatpost so it is nice for XC but I can also drop behind it if needed.
Dropping behind the saddle is something that is overdone by most people. If you go for some coaching with Jedi (better idea than new forks I reckon) he will look at your footwork and will get you to drop your heels rather than drop behind the saddle. Try it – it gives a much better link to the bike and everything feels more solid – many people do the opposite and are up on the balls of their feet instead.