Update k3d-dev.sh script to support istio cni install

Based on findings from #2123 (closed), update k3d-dev.sh script to support istio cni chart install in support of ambient mode.

https://github.com/k3d-io/k3d/pull/1268

https://github.com/k3d-io/k3d/issues/1063#issuecomment-1153271637