Gizmos are distorted when the position axis of a GameObject is over 210

How to reproduce:
1. Open the “Distorted Gismo Demo.zip“ project
2. Navigate to Assets → Scenes and open the “Demo“ scene
3. Select and zoom into “Rocket Variant 3000“ GameObject
4. Rotate the GameObject and observe the Gizmo

Expected result: Gizmo looks normal
Actual result: Gizmo looks distorted

Reproducible with: 2021.3.29f1, 2022.3.6f1, 2023.1.6f1, 2023.2.0b2

Reproducible on: Windows 10, Windows 11

Note:

• Often the GameObject itself also moves unusually.
• If the issue does not reproduce, zoom into the GameObject.