Misaligned Edge Die "Seam" On 1777 Mexico 8 Reales

I believe I have found an example of an 8 Reales with a misaligned edge die that resulted in a "seam" present on the obverse side only. Initially I was worrisome of it being a bad sign, but after performing research I discovered this does not immediately make a coin a forgery. This resulted in the edge die being misaligned and the edge pattern cutting into the planchet of the coin. The obverse die strike was not enough to "fill in", and resulted in what appears to be a seam.

Something else I noticed was that this coin is slightly smaller (about .5-1mm difference between coins) than some of my other examples. Upon inspecting the edge, I see evidence this was made using a parallel edging and upsetting mill. There are two overlaps opposing each other 180 degrees from each other.

The coin weighs in at 26.78 grams, and I went through the process of setting up an SG test and the results were good. I got no results below 10.30, higher numbers were a result of the coin still swaying and messing up the reading. After suspending the coin I was able to get a good reading between 10.30-10.31.

I'm left with a question still; Is the gouge on one of the overlaps caused by the upsetting mill?