When placed this way, bottom rail connect to top rail even if a bloc should prevent that.
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This feature has been in the game for a very long time. I'm fairly sure it works as intended.

Not really sure about that because of the other bug I reported (MC-181757) where minecarts teleport (as we can see in the video).

Work As Intended. Rails can connect through blocks.

You should understand that at first, it may not be intended, but after years, it becomes "part" of the game, like mobs not checking if a trapdoor is open or closed.

Thank you for your report!
However, this issue is a Duplicate of MC-8004.
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