Edit: Didn't notice I wasn't on the last page.
The light goes through it's routine when it is sleeping. Kinda weird, it tells you it is sleeping and saving power by using power, but that's the way it is. I have been having problems lately with it not waking up either. Haven't had a chance to test it and see what consistently causes it yet, but I am thinking it might just be related to WiFi always being on (since my CDMA data doesn't work).
Gen.Y DualBoot thread:
http://forum.xda-developers.com/showthread.php?t=623792