I made a small moon at max build altitude (1088 meters), it looks like this
as you move away you start to see streaks all the way to the ground
you move even farther away and it looks like this
and as I said before it goes all the way to the ground
It is also visible from the ground.
when you stand under it on the ground you can see it normally.
I think this also happens in single player. I thought you would like to know.