bug: loop variable identifier not found

[glihm]

Bug Report

Cairo version:

v2.3.0

Current behavior:

When writing a loop, we're facing a weird issue from the compiler saying that Identifier not found for a variable that is actually defined in the loop itself:

impl BattleImpl of BattleTrait {
    fn battle_loop(ref self: Battle) {
        loop {
            let mut entity: u32 = 5;
            if !self.isAlly(entity) {
                break;
            }
        };
    }

    fn is_ally(ref self: Battle, entity_index: u32) -> bool {
        return true;
    }
}

This fails with:

error: Identifier not found.
 --> /home/glihm7a/Downloads/mre/src/Battle.cairo:20:29
            if !self.isAlly(entity) {
                            ^****^

But defining the variable outside the loop, or adding a statement solves the problem:

impl BattleImpl of BattleTrait {
    fn battle_loop(ref self: Battle) {
        loop {
            // Moving this out of the loop makes the code compile.
            let mut entity: u32 = 5;
            if !self.isAlly(entity) {
                break;
            }

            // This makes the code compile.
            let a = 2;
        };
    }

    fn is_ally(ref self: Battle, entity_index: u32) -> bool {
        return true;
    }
}

Expected behavior:

Expecting the variable defined inside the loop to be found without adding an extra statement.

Steps to reproduce:

Here is a MRE:

#[derive(Destruct)]
struct Battle {
}

fn new() -> Battle {
    let mut battle = Battle {};
    return battle;
}

trait BattleTrait {
    fn battleLoop(ref self: Battle);
    fn isAlly(ref self: Battle, entityIndex: u32) -> bool;
}

impl BattleImpl of BattleTrait {
    fn battleLoop(ref self: Battle) {

        loop {
            let mut entity: u32 = 5;
            if !self.isAlly(entity) {
                break;
            }

            //let b = 2;
        };
    }
    fn isAlly(ref self: Battle, entityIndex: u32) -> bool {
        return true;
    }
}

Related code:

Not sure of the compiler code related to that. Any hints on this and I would be happy to investigate.

Other information:

At the beginning I was thinking of the fact that as the entity variable is related to the break, cairo needs to know it outside the loop.
But when we add a statement, it works. So I'm not sure of the behavior here.
Speaking with Oriz on the discord, he is likely a bug, but no clue where on my side.