I am trying to think of the name of a movie I saw in the early 90's. I can only remember a scene from the movie. The are children with their father and they walk into a cave to find a large sea creature, possibly resembling a seal or whale, that is injured and bleeding. The father puts a white cloth up to the bleeding and the cloth becomes saturated. The movie is not animated. I would really like to remember the name of it because my mom doesn't believe the movie exists. Thanks!

Its magic in the water. Never mind!