Decorations are not hidden within folded regions

Reproducible in vscode.dev or in VS Code Desktop?

• Not reproducible in vscode.dev or VS Code Desktop

Reproducible in the monaco editor playground?

• Not reproducible in the monaco editor playground

Monaco Editor Playground Code

javascript:

monaco.languages.register({
	id: 'foldLanguage'
});

var value = `#include <iostream>

int main() {
    std::cout << "Hello World!";
    return 0;
}

// Lorem ipsum dolor sit amet, consectetuer adipiscing elit. Aenean commodo ligula eget dolor. Aenean massa. Cum sociis natoque penatibus et magnis dis parturient montes, nascetur ridiculus mus. Donec quam felis, ultricies nec, pellentesque eu, pretium quis, sem.
`;

const codeEditor = monaco.editor.create(document.getElementById('container'), {
	value: value,
	language: 'foldLanguage',

    automaticLayout: false,
    showFoldingControls: 'always',
    glyphMargin: true,
    wordWrap: 'on',
});

monaco.languages.registerFoldingRangeProvider('foldLanguage', {
	provideFoldingRanges: function (model, context, token) {
		return [
			// region1
			{
				start: 3,
				end: 6,
				kind: monaco.languages.FoldingRangeKind.Region
			}
		];
	}
});

codeEditor.deltaDecorations(
      [],
      [{
        range: new monaco.Range(5, 1, 5, 1),
        options: {
          stickiness: monaco.editor.TrackedRangeStickiness.NeverGrowsWhenTypingAtEdges,
          glyphMarginClassName: 'red-dot',
          overviewRuler: { color: 'red', position: monaco.editor.OverviewRulerLane.Left },
          minimap: { color: 'red', position: monaco.editor.MinimapPosition.Inline },
          zIndex: 1
        }
      }]);

codeEditor.deltaDecorations(
      [],
      [{
        range: new monaco.Range(4, 14, 4, 14),
        options: {
          stickiness: monaco.editor.TrackedRangeStickiness.NeverGrowsWhenTypingAtEdges,
          afterContentClassName: 'green-dot',
        }
      }]);

css:

.red-dot {
  background-color: red;
  border-radius: 50%;
  display: inline-block;
}

.green-dot {
  background-color: green;
  border-radius: 50%;
  width: 1em;
  height: 1em;
  display: inline-block;
}

html:

<div id="container" style="height: 100%"></div>

### Actual Behavior

Deltadecorations are not hidden within folded regions if 'wordWrap' is active and there are lines of code which are wrapped more than once.

Steps to reproduce: fold the region at line three, the red do at the glypth margin and the green dot within the text is still visible. If the comment on line eight is removed or 'wordWrap' is deactivated the red and green dot is hidden as well.

### Expected Behavior

Deltadecorations are always hidden within folded regions.

### Additional Context

-

Start with the Monaco Editor Playground reproduction, focusing on the registered folding range provider, the deltaDecorations calls, and wordWrap: 'on'. Reproduce the issue with the region folded and the long comment present. Done means glyph-margin and inline decorations inside the folded region are hidden when wrapped lines are present.