When old chunks are blending with new chunks in the badlands, the terracotta is in the old chunks while the red and are in the new chunks causing a very noticeable and hard-edged transition.
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Apologies for late reply, I was busy. I deleted the chunks and updated my world directly to: pre4, pre7, pre8, and release candidate 3 and the harsh transitions of the old chunk (terracotta) occurs between the new chunks (red sand). I added the updated image along with the pre1 image. The new image I attached is from release candidate 3, however the same glitch occurred in pre4, pre7, and pre8 as well so I just included the latest version.
Does this still occur when upgrading directly to pre4? If so, please attach a copy of the world