Did you realized that it says incorrect TXT record instead of incorrect CNAME record?
It’s not your fault, though. Cloudflare will automatically issue certificates for you on their end. In order to do this, they have to create a TXT record on _acme-challenge
for you.
Unfortunately, this means that the TXT record will take precedence, and you’ll never be able to complete the verification process here even if you do have the correct CNAME record setup.
I recommend you to follow this guide instead to get a working certificate with Cloudflare: