Bag 'compact' bug.
If you spent fractal relics on 20 slot uncommon / rare / exotic gear boxes, there’s your explanation: they store uncommon / rare / exotic gear in their 20 slots first and don’t compact. Same with invisible containers and other specialized bags. Working as intended I guess.
Ha that’s insane. I didn’t even think of that. Ah well I guess I can deal with that then. Thanks for pointing out my stupidity (genuinely).
:)