An LED diffusion element is provided having at least one cavity for receiving an LED light bulb. The LED diffusion element contains a conditioned surface on both its exterior surface and in a light collection area that is facing the LED light bulb when inserted into the LED diffusion element. In one aspect, the LED diffusion element has an “H-shaped” cross section formed by the two cavities created on opposite sides of the LED diffusion element. In this configuration a common, central light collection area within the LED diffusion element is created that allows for smooth blending of colors coming from multiple LEDs contained within the two LED bulbs. In another aspect, the LED diffusion element is cylindrical in shape and is dimensioned to fit within a light rope so as to provide a smooth lighting effect when the LEDs are illuminated within the light rope.