Your dream is rich in imagery and emotional depth, indicating a complex interplay of personal feelings, memories, and anxieties. Let’s break down some of the elements:

1. Grandma's House and Family Dynamics: The setting of your grandma's house suggests a connection to family roots and nostalgia. Your mother's warning about the water could symbolize a fear of overstepping boundaries or a desire to meet familial expectations. The emotional outburst about wanting to make your Dedo proud indicates a strong desire for approval and validation from your family, particularly from figures who may have high standards.
2. Emotional Release: The intense crying and feelings of shame or guilt suggest that there might be unresolved issues or pressures you feel in your waking life. This could relate to familial relationships or personal expectations. Your dream seems to be processing these emotions and revealing a deep yearning for acceptance.
3. Changing Narratives: The transition to Aleeya's Facetime call and the fight involving Gabriel introduces themes of concern for loved ones and the chaos of social dynamics at school. Your perspective as a "fly on the wall" indicates a feeling of helplessness or detachment in these situations, suggesting that you may feel out of control in your social circle or family matters.
4. Gloomy Locations: The shift to a gloomy, refinery-like setting implies feelings of being trapped or overwhelmed by responsibilities. The imagery of packages could represent burdens or obligations that you feel compelled to manage for others. The transformation to a padded wall institution and patients throwing packages like dodgeballs could symbolize a desire to escape pressure or chaos, suggesting a playful yet serious coping mechanism.
5. Hospital Imagery: The dark, eerie hospital represents fears, anxieties, or perhaps a sense of emotional distress. The patients with red pupils and the unsettling environment evoke feelings of paranoia or fear of the unknown. This could reflect real-life anxieties you're experiencing or a sense of being overwhelmed by your surroundings.

Overall, your dream illustrates a struggle between familial expectations, personal identity, and the pressures of social dynamics. It may be beneficial to reflect on these themes in your waking life. Consider discussing your feelings with trusted family or friends to help navigate these emotions. Journaling about your dreams and feelings could also provide insight into your subconscious thoughts and fears.