It has been possible from the beginning for users to have colored prompts, but does require editing of /etc/bashrc or ~/.bashrc to achieve that and setting the value of PS1 appropriately.
This change seems to make the colored prompts easier for the average user and simply needs to be tweaked to be suitable.
I might note that a color that works perfectly with a white background may not be suitable for a dark background, and vice-versa. Thus what works for a user who uses a dark theme might not work for those who use the light theme. Maybe that needs considered in setting the prompt colors as well.
It also has historically been appropriate for the user prompt to be one neutral color – green, blue, yellow – and if logged in as the root user the prompt has often been red to reflect the difference in potential risks and a reminder that the user is operating in a special mode.
I find that these are the settings that work best for me in both light and dark mode for both my regular user and for the root user.
Regular user
$ echo $PS1
\[\033[01;32m\][\u@\h\[\033[01;33m\] \W\[\033[01;32m\]]$\[\033[00m\]
For the root user
# echo $PS1
\[\033[01;31m\][\u@\h\[\033[01;36m\] \W\[\033[01;31m\]]#\[\033[00m\]
This is achieved in /etc/bashrc with:
(and works in both a standard terminal as well as a terminal window.)
# If id command returns zero, you are the root user.
if [ $(id -u) -eq 0 ];
then # you are root, set red colour prompt
PS1="\[\033[01;31m\][\u@\h\[\033[01;36m\] \W\[\033[01;31m\]]#\[\033[00m\] "
else # normal user
PS1="\[\033[01;32m\][\u@\h\[\033[01;33m\] \W\[\033[01;32m\]]\$\[\033[00m\] "
fi