Pi-hole doesn't block domains as intended

Neither of the IPv6 addresses assigned to the Pi match the IPv6 in the Pi-Hole setup. I altered the IPv6 address for posting purposes - your debug log has the specifics.

[✓] IPv6 address(es) bound to the eth0 interface:
   xxxx....:7d7f:9a41 does not match the IP found in /etc/pihole/setupVars.conf (https://discourse.pi-hole.net/t/use-ipv6-ula-addresses-for-pi-hole/2127)
   fe80::800f:2c5a:ed05:29e1 does not match the IP found in /etc/pihole/setupVars.conf (https://discourse.pi-hole.net/t/use-ipv6-ula-addresses-for-pi-hole/2127)

[i] Default IPv6 gateway: fe80::464e:6dff:fed8:37d5
fe80::464e:6dff:fed8:37d5
   * Pinging fe80::464e:6dff:fed8:37d5
fe80::464e:6dff:fed8:37d5...
[✗] Gateway did not respond. (https://discourse.pi-hole.net/t/why-is-a-default-gateway-important-for-pi-hole/3546)


*** [ DIAGNOSING ]: Setup variables
    PIHOLE_INTERFACE=eth0
    IPV4_ADDRESS=192.168.178.5/24
    IPV6_ADDRESS=xxxx....:6bff:fe8f

If you don't specifically need IPv6 on your network (and very few users do), then I would disable it on the network and avoid potential IPv6 problems. The IPv6 DNS queries can still be handled by IPv4.