Why does my Dream Sprite reset to level 1 after a match in Fortnite?

If your Dream Sprite returns to Level 1 in the lobby after a match, this is intended behavior. The Dream Sprite is a unique item designed to consume itself after it reaches Max Level 5, it automatically explodes into legendary loot and extracts from the match. 

Even though your Dream Sprite resets to level 1 for the next match, it permanently retains its mastered status in your Sprite Mastery Tab.

For more information on the Sprites, have a look at our Community Post here: v41.00 Update Notes: Grab a Sprite. Get Out Alive. Fortnite Runners is Here (Öppnas i en ny flik)