Prophecy
Moshe Rabbeinu made it very clear to the nation that they did not see a physical image of G-d at Mount Sinai. He also clarified that it is forbidden to worship any physical image, as that would constitute עבודה זרה.
According to the Ramchal in דרך ה׳, Moshe was actually teaching a lesson about prophecy. He was pointing out that the entire nation was elevated to a certain level of prophecy as they received the Torah.
They did see an image of an elderly, saintly, person with a long white beard. When the Red Sea was split, they saw an image of a warrior, fighting on their behalf.
Moshe explained that there is a big difference between that which one sees in a conscious state, and the elevated state of prophecy.
In a conscious state, all physical images of G-d, must not be worshipped. But in a subconscious state, it is possible to see images, that represent Hashem fighting in our behalf, or protecting us.
This is a very important concept to understand in our overall worship of Hashem and the Torah.