I had a totally bizarre problem with our 1989 Corolla. I was adjusting some stuff under the hood, checking the a/c and all of a sudden the High temp gauge needle went to high. I was freaking out. The engine was not hot either, It was just normal warm/hot. But defiently not overheated. It was full of coolant. I went down and put in new Temp sensors. There are 2. One for temp and another for some other coolant temp esensor (I forgot for now) one is normal size and he other is tiny. It fixed the problems and all when back to normal. It was really shocking. We had the car for 11 years when it did this. To this day I have no clue when the temp sensor(s) failed. I did not want to chance anything bad with the temp system, and had to make sure it did not malfunction as my wife drives it and can't have it burn up over a smal part. I had replaced the radiator with a new one a couple months earlier. The old radiator had started to leak from old age. I had read somewhere that on MR2 engines sometimes they can have a pocket of air trapped. But that did not make sense for my Corolla, because at least 2 or 3 months had passed since I changed the radiator and had the coolant system open to air.
To this day I don't know why it screwed up. But replacing those sensors fixed thetemp gauge going to high problem.