No, I haven’t seen that. I usually leave PP on, since most of the games I play require it. And, no, it’s not normal. I’m currently running PiTool 188.8.131.522 and FW 184.108.40.2069. When I (just now) turned on the headset and it’s in PP mode (LED is purple and chevron is flashing green). I will note that the headset sometimes reports it is disconnected. I’ve found that reinstalling PiTool (same version) fixes the issue (at least for a while). Also, if that happens, be sure to re-enable the headset in SteamVR, when prompted.
I’m not sure what you’ve tried so far, so skip any of these steps that you’ve already tried. Honestly, I’m not sure what might be wrong, so I’ve iterated over everything that I’d try, if I were in your situation.
I’m assuming you have an 8KX like I do.
First, I’d try rebooting the headset (in PiTool), if that doesn’t fix it, restart the Pimax Service (also in PiTool). If that doesn’t fix it, try rebooting your PC. If that fails, try reflashing with the .299 firmware; if that fails, reboot your PC. If that fails, flash with .298 and if that fails, try rebooting your PC.