I would clear the code as now you have fixed the falt.if the falt isnt fixed then the light will come back on,all the best.
I suggest changing the cooling thermostat to make sure it's not getting stuck causing temporary overheating and flush the system and put fresh coolant in.
The guage will go hotter then go back to normal every time the thermostat opens to let cooled water into the engine block which is normal. Time for concern is when the guage goes hot and stays there along with bubbling sounds and coolant overflow onto the ground. Which you probably already know.
I had that once and the shaft to the impellor was broken ....
SOURCE: 2001 dodge stratus engine temperature gauge spikes occasionally
Look for a loose connection to the temperature sender unit on the motor.
If all connections OK, you may need a new temp sender unit.
SOURCE: check engine light code on for engine coolant
Check continuity of the sensor wire. It should run between pin #4 (check manual (chilton better than haynes for electrical) for location as sometimes there are design changes) of the black harness plug on the computer to the sensor. The other sensor wire is shared with the cps and tps sensors, so if you don't see problem readings with those that wire is likely good.
Also, make sure that you have no air in the cooling system or as it passes the sensor it can mess with the readings. Run the engine with the system open and the heat on high....I like doing this with the front of the vehicle either jacked up slightly or pointing up-hill... run a complete "cycle" from cold to operating temp and add coolant as needed.
Hope this helps!
SOURCE: Replaced engine coolant temperature sensor
Make sure that your thermostat is working correctly. Let the engine warn up, not long enough for the vehicle to get into close loop, but to where the hose is warm. At this point the hose should be hard. If it isn't hard you will also hear the water flowing as you squeeze it. Often the thermostat goes into a fail safe mode which is all the way open and with the engine having run hot, this could have caused failure here. If it does't pass this test, it should be taken out and looked at. If it is bad you will see it all the way open...you can always compare it with the new one.
SOURCE: pontiac G6 temp guage runs at 260F. Is this normal temperature
no it is not it should only at 200
SOURCE: 1995 pontiac bonneville 3.8L temp gauge maxed, engine norm temp
Possible bad sending unit or shorted sending unit wiring.
Testimonial: "replaced the sensor, need a wiring diagram to verify DMM readings of the wiring are accurate."
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I also ran a freeze frame while the car was running , and the coolant temp stayed around 165. I will go back out soon to check all connections coolant level hoses ect
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