When playing 2-player on split screen, the bundle for the second player has an inventory display that blinks and flashes making the bundle extremely difficult to utilize. This blinking doubles in speed if you open a container (chest, barrel, ect.) and then interact with a bundle either in the container or in your inventory.
This should have been fixed in 1.21.70. Have you made sure your game is updated to 1.21.70? You can see what version you're playing on in the bottom right corner of the main menu.