I’ve been pondering how fear responses are, in many ways, the same as arousal responses. Also, many people, particularly those with submissive tendencies, are aroused by situations in which they are powerless, just like many nightmares.
So I’m wondering who has become massively aroused by a nightmare that was also terrifying. What was it that you dreamed about and how did you feel about it when you woke up?

I have no idea if it’s real or just pop-psychological platitudes… but I’ve heard whispers of something called “misattribution of arousal” where the fear response is misinterpreted by the body as arousal. It sounds a little similar to what you’re asking.
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Sounds very similar to what I’ve heard, yes. Would love to hear from someone with some expertise though.