Yes, this exactly. At the moment, it's set up as a variant of the 'have you stopped beating your wife yet?' conundrum.
If you humour/tolerate them by choosing to interpret their use of the word 'gender' to presumably mean sex, you have implied that you are in accord with their own beliefs - those of gender and sex being both different things AND the same thing, however they choose to frame and manipulate it.
On the other hand, if you choose 'my gender identity is not the same as my sex assigned at birth' - because you don't have or believe in a gender identity, so how could you possibly have one, and what does it have to do with sex anyway? - then you will certainly be regarded as trans/NB/gender-fluid/questioning or whatever.
As you say, without them giving an option for 'I do not have a magic gender identity - I am just my biological sex', they're deliberately rigging it so that you're forced to comply. It's no more honest or worthwhile than a company doing market research on a product and making people tick one of two boxes to indicate whether they would describe it as either 'amazing and great value' or otherwise 'wonderful and very affordable'.
At least, in the old days of pen-and-paper surveys that were counted and analysed by actual humans, you could add your own option or description of why the given options were faulty/lacking and thus your reasons for not answering - the same as with a general election ballot, where you can deliberately 'spoil' it. Nowadays, you're forced into Hobson's choice, and if you don't, the computer patronisingly tells you that YOU have made an error and will refuse to let you submit it.