They make fan/arch type window coverings that fit inside of that and you can then run blinds of window coverings on the lowers. She doesn't look "too impressed" with your picture taking either. Haha!!

I have used a custom highlight window arch that is similar to a shutter but has a slimmer profile. It is operational and easy to use and has a nice clean look.

Look up arched window pelmet or arched window Roman shades, on the google. It’ll all be custom but lots of really attractive options to consider

Ho much do you want to spend? Arched window custom coverings lean expensive. If you are willing to cover the window partially with drapes, especially if they were sheers, you could use drapes. So horizontally, you will have slightly less "window" than you have now.

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IMO drapes in a toddlers room are never great the fact is kids do weird things and hanging on the drapes is one of them I would do some blinds that have no strings and a permanent blind made for the arch since light control will also be a big issue at nap time.