@d1onys1us Actually, looks like others have posted about it here:
https://github.com/dendronhq/dendron/issues/3869
Some mention that they've fixed it by updating the GItHub Copilot extension, or by creating the log file that it mentions it is unable to find.
In your case, try creating the file
/Users/me/Library/Application Support/Code/User/globalStorage/dendron.dendron/segmentresidualcache.log
and reload the window to see if it fixes