Location of image storage unclear in Google Drive

So my app uses partitions for multiple databases and we store these databases (+ all other related data for the app) in a dedicated folder on the Google Drive that only a few can access.

Now in Google Drive you have the option, when moving a file, you can use CTRL to not fully move the file but to make kind of a hyperlink.
We use this function so that the databases itself can be viewed by more people without having to give them rights to the dedicated folder. (I know this is not ideal)

In most cases AppSheet created a picture folder in the dedicated folder but sometimes it creates a folder in the second location and not in the dedicated folder.
I’ve been running tests but I can’t seem to find a clear result on what triggers AppSheet to use the second location instead of the dedicated folder.

Is there a known rule how AppSheet handles these things?