Please see also Editing View: Broken indentation around quote block, which illustrates a different way that bullet points break around quotes, albeit one which is independent of Live Preview. (That post was closed and redirected to this thread despite discussing different issues, so I’m reproducing here.)
Expected result
The “live preview” editing view should match the indentation and quote blocks as shown in reading view:
Actual result
In editing view, the indentation on the quote block gets squished, and a bullet point outside the quote block is incorrectly shown as part of the quote block.