I had this problem too which was caused by the Jupyter Notebook extension. The extension host would crash whenever I tried to run a cell. The steps I took to fix were:
switch to pre-release version of ms-toolsai.jupyter
uninstall ms-toolsai.jupyter
reinstall ms-toolsai.jupyter
switch to an older version (2025.2.0)
restart vscode
Not sure if directly switching to the older version will fix things.
I didn't use extension bisect because the Jupyter Notebook extension had to be enabled for the crash to happen.