Tricky one IMO, if you look at it from a non-English speaking point of view Crimehazard does make sense if you start with something like Biohazard, i.e. a danger to life, it logically follows that Crimehazard is therefore a danger to crime / criminals.
It also seems to fit better with most of Cloud's other limits like Braver, 凶斬り, 破晄撃, they all seem to have this feeling of (divine?) punishment. Had they been describing Cloud's attack I think something like Jumphazard might have been more likely, climb seems like an odd choice. Given Cl/rimehazard's use in FFIX too, I tend to agree that there's a strong chance it's crime.