This area features floating Water Bubbles that Mario needs to finish the level. It is also the only area to feature normal Chain Chomps. Bullet Bills are also present.
Mario begins the level near a Chain Chomp, three ? Blocks, two Brick Blocks, two coins, and a Water Bubble. The middle ? Block contains a Super Mushroom. Mario must use the Water Bubble to get up to a high surface, then use two more Water Bubbles to get across a gap. After a Bill Blaster which rises out from below, Water Bubbles begin to move differently, with some containing coins. Following three Chain Chomps, Mario reaches the Checkpoint Flag. There are then several Chain Chomps before more Water Bubbles Mario must use to cross over while avoiding Bullet Bills. The final section contains more Water Bubbles and Bill Blasters before Mario reaches the Flagpole.
- Star Coin 1: Right before the Checkpoint Flag, the first Star Coin is blocked off by many Brick Blocks. To get it, Mario and co. must free the nearby Chain Chomp while it is facing the right so the Brick Blocks will be destroyed and the Star Coin will become attainable.
- Star Coin 2: Near two ? Blocks and a Brick Block is a Green Pipe partially concealed by clouds (pictured). This Pipe leads to a hidden area with several Water Bubbles, and the second Star Coin is floating above the third one.
- Star Coin 3: After emerging from the exit Pipe that led from the area with the second Star Coin, Mario and co. must go to the left and will see the third Star Coin in a small valley guarded by two Chain Chomps.