Here, we will attempt to give a more involved, but potentially more intuitive, proof.
So first things first, we need to get the intuitive part into place, and that means thinking a little bit about what the real number line "is", and what we seek to prove in relation to that.
And this is how it goes. The real number line should, basically, be thought of as an "idealized ruler": a ruler, as you might know, has little tick marks at regularly-spaced intervals along it, like this.

You should also note that every so many marks, there is a "large" mark that is marked with a whole number. This represents a count of the ruler's fundamental unit - here it is (I presume) centimeters (cm). In the mathematical real number line, we don't care what that unit actually is, if it is anything at all, only that it exists: and we denote it with the symbol $1$ - this is why you may have heard "$1$" called "the unit" or "unit", as that is what it is: on the ruler, the tick marked "$1$" means $1\ \mathrm{cm}$.
Moreover, there are small marks. On a ruler like the above, they are millimeters, or better, tenths of centimeters: each small tick counts $\frac{1}{10}\ \mathrm{cm}$. We use the marks as thus: by counting - either the larger or smaller marks - from the ruler's start point, up to some desired end point, such as, perhaps, the end of a long object which the ruler is placed against, we can figure out the number of measuring units of that type (i.e. $1\ \mathrm{cm}$ or $\frac{1}{10}\ \mathrm{cm}$). For example, if we count 23 of the large marks, we know it is 23 cm. Note that the same would also be the case if we counted 230 of the small marks: that is $\frac{230}{10}$ cm. This shows that the ruler has two different levels of precision, and this would be a more precise measurement: if the object is not exactly 23 cm long, but its end fits between 22 and 23 cm, say, we can now get the nearest tenth, e.g. 22.7 cm.
The real number line, likewise, works the same way, only it is far more detailed. In addition to the basic unit, you can think of it also having "tick marks" at any fraction thereof:
$$\frac{1}{q}$$
for every natural number $q > 0$.
In particular, the rational numbers occur at every tick mark of the form
$$\frac{p}{q}$$
where $p$ is an integer - so it's also a double-ended ruler, with ticks going backwards from before the zero mark.
When it is said the "rationals are dense in the reals", what this means is this: Think about the ordinary ruler again. Suppose you put two points along its edge. Provided they are not closer than the smallest graduation (in the picture, $\frac{1}{10}\ \mathrm{cm}$), then you can tell them apart in that you can find a tick mark between them. But, if they are closer than this, you won't be able to. But now think about the real number line: this property means that you will always be able to find an intermediate tick mark.
And that also gives us the way to the formal proof. Let the two points be $x$ and $y$, with $x < y$ (i.e. $x$ is to the left of $y$). Choose a "tick size" that is a natural number $q$. The "tick mark set" is
$$\mathrm{TM}(q) := \left\{ \frac{p}{q},\ p \in \mathbb{Z} \right\}$$
Now, let us consider a little exercise. Suppose we start with $q = 1$, i.e. the ticks are steps of the full basic unit (centimeters, if you so desire). If a tick falls between the two points, i.e. there is a $p$ such that $x < p < y$, then we are done. If not, however, then we would say this is too coarse, and we must increase the granularity: take, say, $q = 10$ (now we're at $\frac{1}{10}\ \mathrm{cm}$, if you'd like). Do we now have a $\frac{p}{10}$ such that $x < \frac{p}{10} < y$? Yes, then we're done. No, now go to $q = 100$. And so forth. The proof consists, then, of showing that at some level, we eventually gain enough resolution to separate the points.
How do we do that? Well, think about the cases where there is not enough resolution. Namely, suppose $q$ be such that there is no $\frac{p}{q}$ with $x < \frac{p}{q} < y$, i.e. there is no tick mark between the two points. We now will find which tick marks they fall between. Consider
$$\mathrm{LeftTicks}(q, x) := \left\{ \frac{p}{q} : \frac{p}{q} < x \right\}$$
Since it is bounded above and "like" an initial segment of the integers, it is also reverse-well-ordered, and has a maximal element: the last tick before we step over $x$. Let its numerator be $p_m$. As we have assumed that $x$ and $y$ are "too close" (otherwise, we'd be done), we must have
$$\frac{p_m}{q} \le x < y \le \frac{p_m + 1}{q}$$
i.e. both $x$ and $y$ fit between the two tick marks on the ruler that are immediately adjacent.
Now, by using properties of inequalities, we can rearrange this to
$$(y - x) \le \left(\frac{p_m + 1}{q} - \frac{p_m}{q}\right)$$
or
$$(y - x) \le \frac{1}{q}$$
that is, that the distance between the two points is smaller than the tick unit, just as it should be. Note we might have been tempted to just assume this, but we have to actually show that the given tick marks exist first.
Thus, the strategy must be to show that we can now make $\frac{1}{q}$ suitably small - i.e. $q$ suitably large, such that the inequality reverses itself:
$$\frac{1}{q} < (y - x)$$
. If that holds, then it's easy to see that $\frac{p_m + 1}{q}$ will be the desired intermediate rational.
How do we show this? Well, that is where we need the Archimedean property, which says:
- (Archimedean Property) If $a$ is a real number such that
$$0 \le a < \frac{1}{n}$$
for every natural number $n > 0$, then $a = 0$.
In other words, there is no number closer to $0$ on the real number line than any suitably-fine whole-number fraction, or tick spacing, of the unit length. Note that this inequality is just the one we already have: take $a := y - x$. Hence, from this property, it follows that, if we cannot ever tell the points apart no matter how large the number of divisions $q$ we divide the basic unit by, then
$$a = y - x = 0$$
that is, the two points were in fact identical, when we had assumed them different - contradiction.