I finally solved this issue using the App Store Connect API with the help of ChatGPT. It created a Python script that deleted the stuck screenshot. I ran it, and voila — the issue was gone.
Then I asked it to create a universal script that anyone can use, along with instructions. Here it is.
However I can't attach it here because of restrictions for .md and .py extensions. I attached both files with .txt extension, change the extension for asc_stuck_screenshot to .py and readme to .md. Please read the instruction first.
asc_stuck_screenshot.txt
README_App_Store_Connect_Stuck_Screenshot.txt
Topic:
App Store Distribution & Marketing
SubTopic:
App Review