Lyric discussion by malec2b 

This is an amazing song. The music itself nearly allows you to understand the song more than the lyrics themselves. This is what I can figure out about this song:

First Verse: This sets up the basis of the song. There is a small village, and there is a "wild eyed boy" imprissoned awaiting hanging.

Second verse: The boy had come with a message. The villagers, however, do not understand and fear the boy as he is from freecloud, a mysterious mountain.

Central section: I have a feeling that the key to understanding the song lies here, however I can't quite understand what the meaning in this section is.

In the next section, we see now the powerfull people of freecloud now notice the peril that the boy is in.

Meanwhile, as the boy is about to be hung, the town becomes paniced as he does not seem to be afraid and appears to have a plan.

Next, the people of freecloud save the boy, but, despite his cries, they destroy the village in the process.

The boy returns home saddened that he could not save the people of the village

Your interpretation was perfect until the end. I believe the boy tried to warn the people about an imminent landslide or avalanche. They did not believe him and as result, they and their village were destroyed.

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