What stage of sleep is characterized by dreams and random eye movement?

The stage of sleep that is characterized by dreams and rapid eye movement (REM) is indeed Stage 5. During this stage, the brain exhibits increased activity similar to that of wakefulness, which is why dreams often occur. REM sleep is crucial for cognitive functions, including memory consolidation and emotional regulation, making it a key component of the sleep cycle. Additionally, during this period, the body experiences temporary muscle atonia, which prevents individuals from acting out their dreams. This makes Stage 5 distinct and significant in understanding the overall importance of sleep in relation to mental health and cognitive performance.