Elnjoy (Elmar H)

smthng quite similar happens in version 1.21.1 as well. however, the game didn't complain about the height and the button simply failed to place.

the bug also works in the standard world type (26.3), and Redstone torches may also fail to place.

it’s not exactly a bug; it seems to have been done intentionally, so your bug report should probably be a suggestion instead

it also works with a regular command block, and I personally couldn't replicate it with a redstone torch

the bug in version 26.3 in a flat world is 100% real; it works with various types of buttons (stone and wooden) as well as levers, though it is quite difficult to reproduce and requires many attempts.