Unfortunately, that is "normal" for that year transmission. It's the infamous "marbles-in-a-can" sound, and rather loud at that. Unless it's slipping or otherwise causing a problem, it's probably OK to drive.
Now, that being said, I would add a spin-on external filter prior to the transmission cooler. Usually, the recommended practice on a used system is to add the filter after the cooler, BUT, if the torque converter detonates, you would have to replace the cooler if you don't have the filter first. (Voice of experience.....)
Since I had the filter, I was able to just replace the torque converter and be back on the road. (That was 25K miles ago.)
BTW, if you ever have to replace the cooler, get the V-10 cooler instead. It's direct bolt on, with minor adjustments to the transmission lines. It is about 50% bigger than the original one.