In the function log_rtt_init(), the SEGGER_RTT_ConfigUpBuffer()/SEGGER_RTT_ConfigDownBuffer() can't config the customize buffer if the parameter buffer index equal to 0 ( BUT LOG_TERMINAL_NORMAL is 0 ). So the static buf_normal_up[]/buf_down[] are useless. And you should use SEGGER_RTT_Init() instead.
PS. The RTT buffer index isn't terminal index. Terminal data should always store in the buffer 0, and the terminal index is a special two bytes identifier (0xFF + ASCII 0-F). In this way, the NRF_LOG_ERROR() will not print anything in the terminal, because LOG_TERMINAL_ERROR is 1. BTW, the buffer channel 1 is used by SYSTEM VIEWER.