Psychro (means cold in English) is a small village located on the southwest side of Lassithi plateau, built at the foot of Mount Toumba Moutsouna. It served as the headquarters of the municipality in the early 20th century, and over the years there have been several cases about the origins of the village's name.
Some claim that the village got its name because of its location. Others believe it has a pre-Hellenic origin while others believe that it owes its name to a fountain of cold water inside the village.
Psychro is probably the most famous and, at the same time, the most touristy village on the plateau due to the Cave of Zeus, which is located about a kilometer from the village, at a height of 1025 meters.