Just adding to this thread as it’s about the same zone. I encountered a ‘continue’ bug where my character spawned at the checkpoint in the continue animation being unable to move or use any skills. In the end I had to return to the hub because I was stuck.
I’m not sure if it is easily recreated, but I think it was caused by trying to dodge through the arrow trap for the 1-UP while having zero lives. Somehow the game bugged out and moved me from the ‘continue’ screen with moto back to the checkpoint almost instantly with one life as seen in the video.
check the outcome here for reference.