I have an issue with my 1987 325is 5spd. For some reason the temp gauge now rests at the 3/4 mark. It's been like this for about three weeks now. The car doesn't overheat because I can idle for time and it wont move further, though when I turn off the car and go back 5-10m later the needle is normally just under the half mark. This indicates to me that the thermostat is functioning. The clutch fan is spinning properly with resistance, and the heat is blowing as normal. I will add that when I blow the heat at full speed, it doesn't change where the temp needle is.
Occasionally, when I am in the lower gears (2nd &3rd) I can get the needle to move slightly cooler, but it normally returns to the 3/4 mark at cruising speed.
PS. warm-up time is normal and I don't seem to be experiencing any other issues as my mileage is consistently 26-28mpg
Here is a picture of where the temp gauge sits (I took it while actually driving)......




