This movie was about a young girl who found a magic, shiny thread and it was on a spool.. anyway she somehow goes into a dripping, dark cave and uses the thread to keep track of where she is in case she needs to get out.

I watched this movie all the time when I was little and obviously it's been a few years so I can't remember a lot of details.. anyone know the title?

It sound to me like part of the princess and the goblin.

The Princess and the Goblin.