Awake and startled, he was so confused about what happened and what woke him up.
Aside from sleeping, another one of Loki's pastimes is to destroy the sod. Here you can see he is going at it with full force. He'll bark at the sod, attack it, and pounce on it. Being that the sod is where he poops and pees, it's not really sanitary. But it's better than him attacking other things - like the balcony itself, the carpet, furniture, or humans.
And lastly, here are some peaceful pictures.
I love how his front paw is curled under. How cute is that!