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It is said to have existed in Galarian waters that once existed during prehistoric times. Could it be possible that it was originally a Dragon/Water-type?
It can be found in the overworld within the Wild Area at the Lake of Outrage in certain weather conditions. You'd need to beat all 8 Gym Leaders, though, because it is likely beyond Lv. 55 when encountered.
17.
I decided to try and get a Dreepy myself with that 1% chance but I settled with a Drakloak when it appeared. I caught it in a Dream Ball and I think it was lv 60.