When I was young (long long ago!) I had a story about 2 children - as far as I can remember 1 counted sheep to get to sleep and the other counted dragons - and in their dreams the sheep and dragons were in the scenery that bore a resemblance to their bedding - a stream was a spilled drink maybe??
If anyone can identify it from my terrible description I'll be amazed - and grateful!
Ninety-nine dragons" by Barbara Sleigh sees a young boy try and get to sleep by counting dragons instead of sheep, but the dragons then come alive in the dream, across the eiderdown fields of his half-sleep.