Why is it telling me it is wired when it isn't?

Hi Harley!

Sorry to hear about the issue. Let's do our best to figure this out.

When did this issue start to occur? May I know what steps have you already tried?

Simply try to power cycle your console and attempt to connect again to a wireless network.
Press and hold Xbox's power button for 10 sec until it turns off. Unplug the power supply for 30 sec. Plug it back in and turn it on again.

Please also reset your router to refresh your connection. Turn if off, unplug from the power outlet and wait for at least 5 minutes before turning it back on.

I also suggest that you try to connect it using a different wireless network like your mobile hotspot. If you're still getting the same error, I advise you to perform a factory reset to refresh your system and remove potentially corrupted data. There's an option to keep your games and apps, we only need to choose "remove everything" as our last resort.
Press the Xbox button to open the guide.
Select Profile & system > Settings > System > Console info.
Select Reset console.
On the Reset your console? Please choose “Reset and keep my games & apps”

did you find out the problem and how to fix it

So tell me why Microsoft is now using hall effect sticks (electromagnetic sensors) on the 'wired-only' version of the controllers??? Why not the wireless version???

Miss Kleo - why tell us it is fixed when clearly it isn't and why provide a link that doesn't work ? Are you support or a troll?

This reminds me of a story my mom likes to tell about me when I was a little kid. When I was at an age where the myth of Santa was fading but I continued, as any kid would, to hold closely the notion that there really is a Santa I asked my mom a question.
The question: "Mom, Santa isn't real is he?" to which she replied "No son, he isn't." Upon hearing this I broke out into tears exclaiming "Why did you tell me?"