Is there any way to make these blue dots smaller or lighter? Its not anchor point. They are intersections between grid lines...
Checked the preference but don't know where to look or what to change.
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These must be anchor points, or you wouldn't see them. You can change the colour of selection lines and dots in the Layers palette:
Under Preferences > Selection & Anchor Display you can select from a few options how to display anchors. There should be an option that reduces your anchors' size a little there, the leftmost option.