It always have worked perfectly, but today after to update to new LTS 2020.3.17f1, I have checked that players (using Sorting Group with sorting layer “Entities” and order in layer 0) are always shown behind other entities (sorting layer “Entities” and order in layer 0), regardless of their position.
It seems a bug with new Editor LTS release.
It also happens with latest 2021 version (2021.1.18f1), and it is happening in Windows 10 and Mac OS.
After doing some research I have found that the problem occurs when updating the package “Unity Render Pipeline” from 10.5.1 to 10.6.0.
I have just resolved the problem, changing “Transparency Sort Mode” from “Default” to “Custom Axis” in my 2D Renderer Data file.
I didn’t expect to have to change these kinds of things with a LTS minor release.