At 7 weeks it is much more likely to be coccidiosis than worms, but a photo of the bloody poop would help clarify it if you still have access to it. My chicks often pass some intestinal lining at hat age so it could have been that a\nd have nothing to do with why it died. Intestinal lining looks more flesh coloured than bloody.pDid the chick show any signs of being sick? Usually with Coccidiosis, they will appear hunched and not so active for a day or two before they die. Marek's disease can cause sudden death at this age with no apparent symptoms, usually caused by an aggressive visceral tumour. Sending the dead chick's carcass for a necropsy is the only way to know for sure.
@jaclyncarneal
For your info, the general consensus of experienced poultry keepers here on BYC is that DE has no impact on internal parasites (worms) It is used as an anti caking agent and mite prevention in many feeds and if it had any benefits as regards deworming I am pretty sure the feed companies would be advertising that beneficial property. I am aware of the You Tube videos but unless those people advocating it, got faecal samples done before and after treatment to prove it was effective, I'm with the sceptics as regards the use of DE for worms. There are many reasons why chickens might have poopy butts and the fact that DE clears it up does not mean that it kills worms, which is the suggestion in the most popular video on the subject.