Tough call. If you have access to a LBS you trust, ask their opinion. Keep in mind their motives. Send a pic of the damage to Transition–another option.
Being steel, I would ride that frame. Definitely not if the construction were carbon. Would possibly ride if it were aluminum. My current aluminum frame has many smaller dents and scrapes. Honestly, it’s a MTB and exposed to some pretty harsh conditions and dare I say abuse.