Bama's right. In the OP, the TE is not restricted because his hand is "on the ground".
However, this simple little play could have some wrinkles.
First, we'll assume it was NOT 4th down - where there are restrictions against shifting from an initial ineligible position into an eligible position if the numbering exception is being used (7-2-7b EXC).
Then, the TE must establish himself as a back by stopping for a second (before going in motion). Case Book Plays 7.1.7D and 7.2.5B cover the eligibility and restricted lineman issues.