Yes. I wondered about that when I watched that vid the first time that it was posted.
I've never run a modular engine with the valve cover removed but every time that I've run a push rod engine, with the cover off, the oil is going everywhere! Especially, onto the hot exhaust manifold.
What does the oil guage in the cluster say?
The only way to be absolutely sure of an accurate reading is to attach a mechanical oil pressure guage.
You definitely have something wrong and it could be related to oil pressure. It's not unheard of for the gears in the oil pump to break on these engines.