I understand that the gif doesn't give details, so I'll explain it better. I go into battle after sleeping, which removes the Wounded debuff, have the enemy beat the tar out of me, and would get the Wounded Debuff like normal but with the visual bug. If I go get the snot beaten out of me again, I would game-over like normal. I do recall using a trauma kit mid-battle while wounded long ago and it got rid of the debuff, but I don't remember if that was before or after the bug. If this is somehow a very rare/ personalized bug and you can't replicate it to fix it, then I guess I got a funny copy of a otherwise great game.
Edit* If you'd like, I can share my save folder to you for the prepose of killing the bug and being able to study it so it doesn't happen to anyone else.