Folliage mode Hovering trees on z axis

Hey folks,

I’ve been playing around foliage and I’m getting this weird hovering effect on folliage on the z axis where the trees constantly move up and down on the z axis.

Any help would be great!

I found out that if i deactive nanite it fixes it but I still don’t understand why or how could I use nanites in that case…

How much does that downgrade interactivity?