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The Dragon Temple is the location on the continent of Elibe in Bern and the setting of the final two chapters of Fire Emblem: The Binding Blade as well as one chapter outside of the temple. The temple served as a shelter to the Manakete Jahn for 1,000 years when he was recovering from wounds received during The Scouring. As Roy's group begins their attack on Bern's capital, King Zephiel tells Idunn to head to the Dragon Temple, as his hopes would be lost if she were to die. As Roy's group begins their way to the Dragon Temple, General Brunya blocks their entrance, following the last orders from her late king. After the defeat of Brunya, Roy moves into the temple, where Jahn appears to him and begins to tell him about the Scouring. After the defeat of Jahn, Roy goes to fight Idunn, who's subsequent defeat causes the temple to collapse due to it being held up by the energy of the Demon Dragon.
Following the light emitted when all the Legendary Weapons of Elibe are brought together shows the way to the Dragon Temple, which is said to hold the power of the Dragons. The Dragon Temple's power depends on the Demon Dragon's, and thus the Divine Dragons', life force. Since King Zephiel released the Demon Dragon's seal, Jahn was able to use the Dragon Temple's power to fully heal his injuries and create illusions of himself. He was able to do this because the Dragon Temple is the only place that Dragons can use a little of their power even when in human form.
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