Side Scroller - Sprite Animation Jittering

I’m making a 3d side scroller with 2d sprites for characters and have a problem with the enemies walk animations. Whenever they move the animations appear to have microshaking / jittering and you can especially see at the lower legs of the moving character.
As a test I’ve set a walk sprite animation(flipbook) to the Idle state as well to see if the animation is sharking when the character isn’t moving and there is no problem with that sprite animation since the shaking stops as soon as the characters stops moving. Can this be caused by “AI Move To” node that is activated on OnSeePawn (Pawn Sensing) ?
I’ve tried a lot of different things I’ve found from other people’s similar problem(axis constraints, different UE4 versions, making the nav mesh very narrow, setting sprite rotation on event ticks, orthographic camera, replacing AI move with simple Move to) and nothing helped… Could this be a bug?

Also, been having this issue in any UE4 version since 4.8. Anyone else is experiencing this? Thanks