I've been looking at this for a while and I can't decide what exactly it is. It could be damage, but it's an oddly small and specific spot for there to be damage. At first glance I thought it was 57/8, but on closer examination it may be a cud. No idea really.
Looks like it got hit by something, possibly the coin roller machine, and it pushed the metal on the 8 over. Also, The top of the 8 has a die chip in it.
I agree with furryfrog, but what is the 'pigtail' out of the back of the head, it is too fuzzy to tell if it raised or incluse.
Die chip and then PMD. Lots of 1950's have die chips filling in numbers in the date or letters in LIBERTY. Found 5 examples just the other day.
I have an un circulated 1958 D with a long die chip? running down the T in cent? Also its heavily indented on the obverse side. almost looks wavey. My phone doesnt take very good pictures. can anyone help me out?
I own several Lincolns with similar appearing damage--it is from a Coin Wrapping Machine. The Top Loop of the 8 looks like it is filled from a Die Chip rather than from displaced metal.