Vdd internal short??

My 3.3v supply was shorted to ground and the micro was getting real hot so I lifted the Vdd pin (marked with an X) and the short was gone. The short reappears when i connect the pin again. Is this indicative of an internal short in the micro??..does this mean the micro got damaged??..My theory is if the short is external on the board then the short would still be there when i lift the pin.

You show a cap that could short to ground but that would mean its the only part there and you don't show the power hooked to the pin, like before the cap.