Crunch time isn't a big deal as it's often necessary. You have deadlines to meet and delaying a product isn't really feasible more often than not, your constantly in a state of hurry. If you never did crunch time I'm not sure where these opinions come from. Management's job is to allow flexibility in the schedule for minor delays in progression of software development(inevitable). Not having any time is bad management.
As for this situation, it was unnecessary. The devs obviously fought for pushing the release date continuously as the game was delayed a bunch. Management finally said no and forced crunch on them when they told them they need more time. That's the difference here. If your entire team is saying this isn't ready and you say oh well we launch XXX so you better have it done one week before, well not much choice.
It does come to a point where they have to release. But knowing when that time is would be much better to understand if the people in suits were actively walking around the business seeing how hard people are working. There are other situations but this launch falls on management, not the devs.