Allegedly blue LEDs are supposed to be really disruptive to sleep (not just due to brightness but due to wavelength. Body interprets blue as daylight and red dusk or something)
Well, you're right sort off. Blue light is related to the production of melatonin, which is used regulate our sleep cycle.
Blue light (aka shorter waveforms) blocks the melatonin production, most likely a genetic factor as the blue wavelength is related to the sun's day cycle.