The difference between a dream in sleep and what happens in the waking state relates mainly to the time factor. In a dream in sleep, a person may go through the entire experiences of his life from childhood to old age in a few minutes. The dream compresses the experiences of many years within so many minutes. Likewise what happens over many years in the waking state may appear as a few moments in spiritual experience. Our conception of reality is related to the time factor.
Time causes great difference between what is directly perceived and what is indirectly experienced.
The Atma is the unchanging entity that is able to recognize the changes brought about by time. But each one views the world from one's particular circumstance, background and experience. The Atmic Principle is explained or described in different ways. There is no connection between its reality and the way it is experienced. The analogies used for explaining the Atmic Principle have their inherent limitations.