Unable to turn off Bluetooth since the past few days despite resetting bluetooth module

Hi, i have a 2020 Intel i5 macbook air with big sur 11.2.3

A few days ago, I found some icon in the highlighted area of the Bluetooth settings in my screenshot.

It was like a tiny lock-unlock button. Clicking it open and closed seemed to do nothing visible, and it went away soon after. However, after that, I have been unable to turn off my Bluetooth as you can see in the picture as well.

While it hasn't impacted my use of Bluetooth devices, it is jarring that I cannot turn it off. I have tried resetting the Bluetooth settings and factory resetting all connected Apple devices by shift-option-clicking Bluetooth settings in the menu bar, to no avail.

Requesting any guidance that you guys can provide.

Thanks,

Ansh