Whether I have dug a cave or entered into one already there, if I am underground at all when I exit the game, when I reload I reappear above ground, which means I sometimes have to climb down a mountain to get back to where I was - if I even can. I've encountered this sort of thing infrequently before, but this is happening every time as of 11.1, and I even tried reloading the app, but still got the same thing. The only time that hasn't happened, I was underground, but in open space and not behind a door...but I don't know what I did right so that I didn't reappear above ground.
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Yes, that is right. For me, it makes the game unplayable. It's the first bug I've ever encountered that has me not playing until it is fixed. Frustrating.
Confirmed for 0.11.1 on an LG Optimus L70 running Android 4.4.2 "KitKat".
If you are under any block whatsoever (in your case, it was a cave. In my case, it was my own wooden house), you will be teleported to the top regardless. It is borderline annoying and frustrating.