Torsional fatigue tests at an R of −1 were carried out near the fatigue limit, using smooth, round-bar specimens of annealed carbon steels with banded ferrite/pearlite and isotropic ferrite/pearlite structures. Precise polishing of the specimens made it possible to observe the interior geometry of fatigue cracks. While the crack-plane was macroscopically of shear-mode, it was irregular microscopically, bearing many kinked and branched cracks. Based on calculation of the stress intensity factor for propagating and non-propagating cracks, it was concluded that the torsional fatigue limit was determined by the threshold condition for continuous Mode I propagation into the ferrite/pearlite structure.