The pack.png for the same data pack no longer works in 1.20.4 when it did in 1.20.2.
I wouldn't be surprised if something is wrong with the image, but that doesn't really explain how it works in 1.20.2 but not in 1.20.4 (it also doesn't work in 1.20.3 and 23w51b)
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Duplicate of MC-267176.
It's probably to do with resource pack version 21's png change, which means it is intended and my image is just messed up. (I was told nearly immediately after I posted this even though I've been looking at snapshots for a while... sorry about that.)