ALT Hold works in loiter but not in ALT hold mode.... ?

So i hover 2 meters above the ground and engage ALT hold mode. Slowly the quad lands itself. Theres no indication of the motors speeding up or slowing down to compensate for altitude.

 

When I put it in loiter mode, it holds altitude and loiters at 2 meters...

 

Is this a problem with mode setup? Im running 2.0.42 and I set the modes with the latest version of APM Planner.

 

Any ideas?

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