69 ignition problem???
Glad its running.
The question I still have is why did that connection get so hot.
The one below it with extra insulation is probably the alternator output, and that does not show external signs of overheating.
I'm not sure you're quite done troubleshooting.
Yes you can, and should replace the connector.
Get new seal for the connector from DMT. (goes inside).
Buy some Chrysler type male and female terminals. (also Packard 58 type)
Use a 'open barrel' type crimper.
The reason to replace the connector itself IMO is mostly to be sure the terminals catch securely in place.
When its melted, its that much less for the barb to catch.