I truly think the compass colors are more preference than anything else (red=north/blue=south) but I still think an arrow instead of a blue dot on the map would be helpful for orientation purposes, especially early on as you are getting your bearings :)
Viewing post in Traveling via compass and not terminal commands
I still don't understand why this is so confusing to people. I didn't feel any difficulties with orientation because of the arrows. By default, the blue arrow points in a specific direction, and on maps the arrow points in the same direction. That's the most important thing. Where it is north or south is somehow not important.