but I am not sure if the seals are meant to keep the water out of the button gaps or between the button and unit.
I never push a button while the watch is submerged as per instruction manual. Works fine in any case.
There are no seals between the plastic outer shell of the button and the unit case. This is why water gets in between and then drips out. The inner button itself, however, should be sealed to some degree, but in case of most of garmin devices the waterproofing of buttons is not very impressive (I saw once a dissasembled Fenix 3 and was supprised on how the buttons were mechanically constructed). This is why increased water pressure should be avoided and why pressing buttons while submerged should be avoided. And even if you observe all the precautions failures will happen occasionally. This is no g-shock, mind you.
My theory is that this would be the main reason of damage for those people who tend to kill one garmin after another. I know users who were not aware that pressing buttons under water is something to avoid.