I bought some at the local witch shop thinking it could be burned in an oil burner, but when I got home it said for annointing only, what does that mean, and what can it be used for?
For anointing only is probably just some bs, use it for what you want. Only kind I ever had was in resin form for those little burner things. But yeah, it's incense, nothing more.
If it is in oil form and says "for anointing only" then I wouldn't use it for anything else. I use anointing oils to rub a little on my forehead, pulse points or chakra points (or your feet, hands, etc.) for sacred blessing purposes, this is what anointing is. I didn't know dragons blood came in oil form! I too have only ever bought dragon's blood resin, which I burn as incense. I also sometimes grind it up and add it to my anointing oils, so I imagine your dragons blood oil would be very powerful for that purpose!
When I smell it, my sinuses clear up, and my head feels more clearer, so maybe i should start putting some on my temples or something.
Dragon's Blood is a cleansing insense, so i would not be surprised that the oil helps clear you out so to speak. Dragon's Blood is the big gun of resin insens. It is said by some that it clears all energy, good and bad. If you want to smudge a new place and throughly cleanse the space of energetic impressions, then it is good stuff. Copal, amber, pinon, myrr, etc. are used in similar ways but are not considdered as powerful. Jim