Coconut flour can make baked goods very dry as it absorbs a lot of moisture compared to many other types of flour. So, it's important not to use it as a 1:1 substitute for other types of gluten-free flour. You can avoid it making this bread dry by: 1. Using a very small amount of coconut flour - it really expands when liquid is added, so you only need to use a tiny amount. 2. Mixing the coconut flour with an all-purpose gluten-free flour blend also helps to make it less dense.