The Bug
When a wolf tries to pathfind to shore out of lava (and perhaps water and other danger sources?) it is no longer able to teleport to the player. This can mean in some situations wolves can become stuck and die very easily, even while wearing wolf armor.
Wolves are normally able to teleport while “idle” in lava, it’s specifically when they’re trying to pathfind out.
In the screenshots below, I was far enough away and on wide solid ground for the wolves to teleport. Note how it stayed there instead.