No it wouldn't: you do have nitrite in the tank (unless the kit itself is faulty). I suspect the medication is affecting the cycle and that's why you're getting this reading. Ich (whitespot) meds contain very nasty chemicals which filter bacteria do not like at all, especially the more fussy nitrobacter (the one which turns nitrite into nitrate).
Personally, I do not treat ich with ich meds. Mala green is horrible stuff and it's a pain having to keep the tank covered over and in darkness all the time. I much prefer to treat with salt as it doesn't crash the cycle, you don't have to darken the tank and it's much gentler on the fish (actually it helps them deal with the wounds caused by the ich too).
If you want to carry on with the med then you'll need to start doing daily partial changes to deal with the nitrite problem, as poor water quality will worsen the ich problem. If you don't want to continue with the med, then you need to rmeove it through a 50% water chnage and running carbon in the filter for 12 hours or so. That will remove the med. Then salt the tank to 0.3% over 36 hours.
Hope this helps.