Next time try F5 not F11, F5 drops anything you have in your hands, it fixes your hands but your inventory or the item on the floor will still be bugged until you exit and login again.

I guess that your hands were bugged and in reality had the shovel in your hands and commited suicide with it. That is why you couldn't pick it up, it wasn't there, it was in your hands all that time only that you couldn't see it.

I experienced the same in DayZ BR, after I died by speedhack cheaters I could hear them speak chinese (that's another bug that sometimes you can still hear voip after you die)

DayZ BR 4-003

Wolves eat corpes, I've seen it and have video as proof.

This problem is REAL, I've experienced exactly the same countless times on official servers, I even know how to do it, it's not easy because of battle eye, but reading the process memory is and its going to be always possible.