At the edge of the central highlands you find this beautiful natural phenomenon and oasis. The river Rauðá (Red River) cascades into, and through the valley. Þjórsá river ran through it before, but some years ago a dike was built between the mountains Skeljafell and Sandfell to redirect it.
There are a lot of lava formations that are worth taking a look at. The valley is quite flattened over and full of pumice after the repeated eruptions of Mt. Hekla which is nearby.
The small valley Gjáin features small waterfalls, ponds and volcanic formations. The Vegghamrar are impressive rock cliffs, popular for rock climbing.
Þjórsárdalur Hot Spring Area
Þjórsárdalur s hot spring area is west of the waterfall. There you can bathe in a hot spring where an abundance of hot- and cold water flows freely into the hot spring. Inside the valley is Háifoss, one of the highest waterfalls in Iceland
Þjórsárdalur in the Settlement Age
Þjórsárdalur valley was the site of a flourishing Settlement Age community that was later abandoned and covered by ash in 1104, when Mount Hekla erupted for the first time in the history of Iceland. The farm of Stöng, covered by the ashes of the eruption, was excavated in 1939. It was rebuilt at about 10 km to the south of its original place near Búrfellsvirkjun hydroelectric power station as the farm museum Þjóðveldisbærinn Stöng. There visitors can see how the fireplaces and other house fixtures looked during the Saga Age.