At the outpost, Dunbar finds himself alone and starts to record his observations in a journal. He soon encounters a wolf that he names “Two Socks” and begins to form a bond with the animal, which symbolizes his growing connection to the natural world. Dunbar’s solitude is interrupted when he meets a group of Lakota Sioux. Initially, the encounters are tense and wary, but Dunbar gradually earns their trust and respect, particularly from Kicking Bird, the tribe’s medicine man, and Wind In His Hair, a warrior.

As Dunbar spends more time with the Lakota, he learns their language and customs. He becomes deeply integrated into their society, forming a romantic relationship with Stands With A Fist, a white woman who was adopted by the tribe after her family was killed. Dunbar’s transformation is complete when he is given the name “Dances With Wolves” by the Lakota, symbolizing his complete assimilation into their culture.

Conflict arises when the Union Army arrives to reclaim the outpost. Dunbar’s loyalty is tested as he must choose between his old life and his new identity with the Lakota. He decides to warn the tribe of the impending danger, and together they prepare for the inevitable clash. Despite his efforts, Dunbar is captured by the army, but he is eventually rescued by the Lakota in a daring raid.

Realizing that their way of life is under threat, Dunbar and Stands With A Fist decide to leave the tribe to protect them from further harm. As they ride away, Wind In His Hair calls out to Dunbar, affirming their eternal bond and friendship. The film ends with a note about the eventual fate of the Lakota Sioux and the destruction of their way of life, serving as a poignant reminder of the impact of westward expansion on Native American cultures.