Actually this is not the first problem encountered in area zero but i didn't record the prior ones.
I have manually progressed to this checkpoint, then tried to continue with recording for reporting of bugs.
Apparently the program can recognize the rock in this video but stopped walking forward for unknown reason.
#[SV auto story] Unable to progress in Area zero
coral peak
fleet elm
It looks like a problem with detecting the overworld.
When the dialog pops up, it thinks the overworld disappears, so it thinks it was caught in a battle.
Can you take a screenshot of this? Using the screenshot button in CC.
See how the dialog, causes the bottom of the screen to darken slightly.