Squid Disappearing and Hit Boxes Disappearing as well in Water

I have noticed that I only see squid once they've breached surface of the water. Otherwise they are completely invisible. I usually play with hit boxes on and only the hit box shows where the squid is visible outside the water. Everything underneath it was gone. The hit boxes disappearing have also happened with items. The hit boxes under the water would disappear and reappear sometimes when closer to the surface. Sometimes just not show up at all.