I can tell you with 100% certain that bleed doesn't care about the puddle of blood beneath you, but the blood on your toon. And if that blood is gone, bleed will proc.

Leech absorbs all blood source within your grid, and that include the blood on your toon and if that blood is gone, bleed procs. Leech will not proc if you are full hp (obviously). Physical attacks make your toon spill blood, which will be absorbed by leech. Leech doesn't care about bleed, it cares about blood. And the blood generated may or may not make a puddle of blood. The talent is working as intended.

I know this because I was planning to abuse bleeding to 1 shot pretty much everything in the game. With the said mechanics, it cannot be done (poor me). Change how bleed works and I'll show you how I will abuse it haha.

And who the heck use come back kid lol? Useless and overrated talent like WtS, alone or in combination with anything.