Pocket Dragons Season 1 Episode 10 Pocket Dragon Adventures S01 E11 "In Your Dreams"

Cuddles has no stomach for danger and excitement while he's awake, but when he sleepwalks, he becomes a valiant hero. While sleepwalking outside the castle, Cuddles is kidnapped by the Grackul, a nasty creature from the Mysterious Land. The still sleeping Cuddles must free the Grackul's other captives and find a way to chase the Grackul away, all before he wakes up!