you are right the seedling is dying or already dead. Seeds love it to have good conditions, that meansd fluffy soil and keeping high humidity
for you next growm dig abig and deep hole, fill in fluffy soilmix ( peatmoss, gardensoil, perlite) or mix with ready mixed soil........ then put in you well germinated seed, that has roots. cover the seedling with aplasticbottle that is cut in 2 halves
and give smll holes in the plasticbottle, and put it above the seed.
Look for the seedling at least 2 times aday and spray the medium with water........ If it is very sunny, give some shadow to the place
thats it