The talking dragon is telling her this isn't a dream. That either means it isn't, or the talking dragon doesn't realize it because people in dreams generally don't.
"Then what is going on? Am I in the Spirit World?" It seems like the next probable answer after dreaming. She wouldn't have figured injuries would carry over, but she hasn't exactly asked Aang about the details.
no subject
"Then what is going on? Am I in the Spirit World?" It seems like the next probable answer after dreaming. She wouldn't have figured injuries would carry over, but she hasn't exactly asked Aang about the details.