Are you sure it's trans fluid? Catch some on a white paper towel & see what color it is, and how it smells.
Yes, it's probably just a worn front seal on the trans, but it looks like your engine could use several new gaskets & seals. I'd pull the ENGINE, inspect the freeze plugs, & replace the oil pan & valve cover gaskets, F&R main seals, trans front seal, t-case F&R output seals, & probably both engine mounts. While it's out, I'd probably stick new oil & water pumps on it.