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Karuizawa's dominant feature is the volcano Asama-yama, which last erupted in 1973 and continues to steam ominously. No hiking is allowed within 4km of the crater, and the best place to get a glimpse of the volcano is on its north side at Onioshidashien (daily: May-Sept 7am-6pm; Jan-April & Oct-Dec 8am-5pm; Y400), 21km from Karuizawa. Onioshidashien was the scene of a cataclysmic eruption on August 5, 1783, when ashes from the blow out were said to have darkened the sky as far as Europe, and a seven-kilometre-wide lava flow swept away the nearby village of Kanbara. When the lava cooled it solidified into an extraordinary landscape of black boulders and bizarre rock shapes which now sprout alpine plants. To get an idea of the scale of the place, head up to the observation floor in the giftshop and restaurant complex at the entrance. You can then explore the twisting paths that have been laid across the weird landscape. Most of the crowds head for the central temple, Kannon-do, standing on a raised red platform amid the black rocks, but you can easily escape them by continuing past to the quieter area behind. Regular buses run to Onioshidashien (Y950) from outside Naka-Karuizawa Station, one stop west of Karuizawa, in around thirty minutes. There are also direct buses from Karuizawa Station (45min; Y1150). There's nothing to see in Naka-Karuizawa but, if you have time to kill while waiting for a train or bus, try the delicious noodles at Chojuan , an unpretentious restaurant to the left of the station.
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