As stocks sold off quickly on Tuesday, Cramer was left wondering; does the decline in the averages indicate that investors should be more cautious?
"I'm not necessarily saying that we're complacent here, and I'm certainly not saying that we've been riding a wave of irrational exuberance, because the tremendous rally in the averages last month made plenty of sense," the "Mad Money" host said.
Cramer spoke with Mark Sebastian, a technician and founder of OptionPit.com. He's the guy that "Mad Money" turns to with questions about the CBOE Volatility Index, or the VIX.
The VIX is also widely known as the fear gauge because of its ability to measure the amount of overall fear in the stock market. Essentially if the S&P 500 has a selloff like it did on Tuesday, the VIX should spike to correspond with a rising level of fear and volatility.
Sebastian was not worried that the VIX rose on Tuesday; that is completely normal. What worries him the most, is the timing. He believes that the market may be filled with turmoil for the next two weeks as we head into the Federal Reserve meeting on March 17, followed by the quarterly Fed news conference on March 18.
Investors are desperate to hear whether Fed Chief Janet Yellen will shed further light on when the first rate hike will happen. Sebastian pointed out that historically, the most volatile periods in the past 36 months have been associated with Fed meetings—especially those that included a press conference.
Looking at the charts for the S&P 500 and the VIX from the past year, it is a clear pattern that the market freaks out ahead of these meetings over and over again. Sometimes the VIX even heads higher, regardless if there is a selloff in the market or not. Thus, Cramer thinks it would be arrogant to assume that this time will be any different.
Read More Cramer: Get ready—Fed will cause turmoil in March
One stock that was hit hard on Tuesday was TrueCar. This volatile small-cap stock was down 7 percent, based on a negative article posted on Seeking Alpha.
TrueCar is an online platform that allows consumers to purchase cars by showing a comparison on what other people in the area have paid for the same vehicle, with the ultimate goal of providing transparency in the car buying process.
The company posted disappointing earnings just over a week ago, showing multiple declines in its revenue, unique visitors and number of cars sold. Additionally, next Thursday 33.4 million shares will be unlocked for insiders to sell. That is a huge quantity considering it has a total of 45 million shares.
"Even if you like the TrueCar story, it might pay to wait and see what happens when we get to that lockup expiry," Cramer said.
To find out where the company could be headed, Cramer spoke with TrueCar CEO Scott Painter.
"TrueCar as a company grew 53 percent year over year, and our TrueCar branded channel…had 125 percent growth. So I wouldn't say that we are declining in any way," Painter said
In the Lightning Round, Cramer gave his take on a few caller favorites:
Idexx Laboratories: "We love those guys! it quietly goes higher and higher. You've got a winner there!"
World Wrestling Entertainment: "WWE is making a comeback, and yet I still don't see the business model generating the kind of cash that I like. So I am not there. I am going to be in the don't buy camp."
Read MoreLightning Round: This quietly goes higher