SUMMARY
Dolphin fails to create/copy/delete files in ~/bin (directory in PATH), error code 177, incorrect path resolution (/home/bin).
Even file operations in a sub-directory of ~/bin result in the same erroneous behavior.
I suspect that this is a Dolphin/KIO edge-case bug triggered by ~/bin being in $PATH.
All file and directory actions in the terminal to, from, or within ~/bin works as expected.
Problem seems only having to do with ~/bin, as other folders result in normal behavior.

STEPS TO REPRODUCE
1. Create the directory in the terminal: mkdir ~/bin
2. Add to path: export PATH="$HOME/bin:$PATH"
3. In Dolphin: Create new text file via right mouse clicks.
4. Create test file (terminal): touch ~/bin/test.txt and try to delete it in Dolphin with right mouse click, move to trash (or select and press del)
5. In Dolphin, Select test1.txt in ~/Documents. Right click Copy. Navigate to ~/bin. Paste the file with right click into ~/bin.
6. Start with no ~/bin. In Dolphin, create new folder (while on Home), name it bin, followed by OK (button).

OBSERVED RESULT
Step3 (above): Unknown error code 177 /home/<user>/bin/Text File.txt.part Please send a full bug report at https://bugs.kde.org.
Step4 (above): Error - Access denied to /home/<user>/.local.share/Trash/files/test.txt.
Step5 (above): Error - Could not create symlink /home/<user>/bin/test1.txt Please check permissions.
Step6 (above): Error - Could not make folder /home/<user>/bin.

EXPECTED RESULT
Step3 : The new file gets created.
Step4 : The file test.txt gets moved to the trash (deleted).
Step5: The file being pasted (as a copy) into ~/bin
Step6 : The new folder bin (~/bin) gets created.

SOFTWARE/OS VERSIONS
Operating System: CachyOS Linux 
KDE Plasma Version: 6.5.4
KDE Frameworks Version: 6.21.0
Qt Version: 6.10.1
Kernel Version: 6.18.2-3-cachyos (64-bit)
Graphics Platform: Wayland

ADDITIONAL INFORMATION
I have replace my name by <user> in the examples.
Even after changing the path into export PATH="$HOME/.local/bin:$PATH", the reported errors keep popping up in Dolphin.
echo $PATH                                       
/home/<user>/.local/bin:/usr/local/sbin:/usr/local/bin:/usr/bin:/usr/bin/site_perl:/usr/bin/vendor_perl:/usr/bin/core_perl

WORKAROUND:
Do not use ~/bin. Place local scripts in /home/<user>/.local/bin
Create the folder if needed and adjust path: export PATH="$HOME/.local/bin:$PATH"