The Dream Sequence is one of the strangest things to air on television, and I know when I first saw it my mind was blown.
Terrified me, too.
I was 20 years old in 1990, but I don't mind saying, when Sarah Palmer first saw Bob lurking at the end of the bed (or was it a couch?) it really gave me the chills.
So much tv has passed under the bridge since then, it's hard to remember how far-out it was and how it knocked everybody out. I remember newspapers having Twin Peaks guides with diagrams connecting all the characters. David Lynch was on the cover of Time
Also, re-watching the series a year or so ago I realized that was the last thing Hank Worden ever did, God bless him. Also, I'm pretty sure that when James and Donna listen to "blues" on the jukebox it's LA roots-rock stalwart Dave Alvin on guitar, but I haven't found any confirmation on that.