Thorin prevails upon Bilbo to enter the Mountain. Bilbo slips on his ring and descends through the tunnel. He feels the heat of Smaug the dragon and hears its snoring and, in a moment of great bravery, he determines to go on despite his fear. He then comes upon the dragon alone, asleep on a pile of unimaginable treasure — gold, gems, weapons, and vessels. Bilbo seizes one cup and flees to the outside where the dwarves greet him.
Smaug awakes and discovers that a cup has been taken. Outraged, he bursts forth from the mountain and perches on top of it. Bilbo and the dwarves run back inside the mountain; Bombur and Bofur must be hauled up by rope from the valley below. Smaug hunts for the thief outside on the mountain, but eventually comes back to his lair to sleep. The dwarves turn to Bilbo for leadership. He decides to go back down to Smaug and see if he can find his weak spot. Bilbo is invisible because he is wearing his ring, but Smaug can smell him. They talk about the treasure-trove and the dwarves' intent to reclaim it. All the while, Bilbo is looking for Smaug's weak spot, which he finally spies near his left breast.
Finally, Bilbo emerges from the mountain, weakened from his experience. He is annoyed by a thrush nearby. Bilbo and the dwarves discuss Smaug; Bilbo is fearful that Smaug will attack Lake-town. He urges the dwarves to move to the safety of the tunnel. There they praise Bilbo's bravery and tell tales about the treasure, describing some of the legendary items including the Arkenstone of Thrain, a large white jewel. Just in time, the dwarves shut the secret door, preventing Smaug from entering. Enraged, the dragon smashes the door and heads toward Lake-town.
