The VIX "fear index" has plummeted since the Fiscal Cliff issue was "resolved," and this morning it hit its lowest level since June 20, 2007. While the VIX is certainly low here, it's not unprecedented.
As shown below, for three years from 1992 through 1995, the VIX traded in a range right around its current level. The same occurred during the mid-2000s bull market in 2005 and 2006. If there's a line in the sand for the VIX, it looks to be right around 10. While the VIX has dipped below 10 briefly in the past, it hasn't stayed there for long.