Once you're at the Weirs, there is a ton of light from the boardwalk area, so you can see the other boats just fine. Some people just seem to drift while others anchor. I've done both, but I prefer anchoring so I don't have to watch where the boat is going while the fireworks are going on. Boats seem to stay about ~50 feet apart.
When its time to leave, just go really slow until you're out of the Weirs area and keep your head on a constant swivel. I almost broadsided a 30' cruiser with no navigation lights the first time I went out (luckily only at headway speed). The guy had the nerve to yell at me.
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