Did you try disconnecting the battery from the charger, waiting a few minutes, and then plugging it back in again. You might also want to try plugging another (of the same type) into the charger, as well as plus that first battery into a different charger.
Sometimes, the charger can "misread" the battery (I've had that happen with all 4 of my chargers - TH, Traxxas, Hitec X2, and iCharger 406). If the same battery gets read the same way on a different charger, but a different battery gets read as 'good' on the first charger, then, yes, high probability the battery's usability had come to an end. Any other reading, and the one in the photos was probably just an "anomaly".