This question already has an answer here:
Most common descriptions, including nice looking graphics, of the communication with Tor hidden services are framed in terms of high-level "Tor circuits" which obscure rather than help understand the underlying mechanisms, in this questioner's naive opinion. In this question instead let's please focus on the contents of TCP/IP packets exchanged :
Assume Tor-user retrieving some clear text file, hello.text, from server qw…rty.onion, using some unencrypted protocol over TCP, say, the HTTP. Let's peek - like, with that ethereal thing - at the data packets which are part of this transfer along the whole path (excluding the end-points). Are the contents retrievable in the clear anywhere, in particular, at the "rendez-vous" point ? Or does Tor "onion" layered encryption somehow apply over the whole (2 "circuits") path ? Please explain...
Edited after suggestion by C.I. that this may be a duplicate. I do not think so. The other question was about encryption of requested hidden service URIs, this is about the encryption of contents. Also, the other question said : "I understand that all of the communication between a client and a hidden service (.onion) takes place within the Tor network and is therefore end-to-end encrypted." - but this is exactly what is in doubt with this here question : are data really encrypted end-to-end by the onion protocol (that would be six-level deep onion encryption) ? Or rather are they decrypted (in the clear) in the middle, at the junction point (rendez-vous), before being reinjected, reencrypted for the other "circuit" (3 level deep encryption) ?