Hello,
Since you suspect you might have a duplicate account or conflicting login details, you are on the right track. That is usually what triggers the illegal state change was requested error during identity verification. Before we go deleting anything, I need you to check a couple of spots to see what Windows is seeing.
First, open your Settings app and click on Accounts. Look inside the section called Email & accounts and tell me if you see your email listed more than once, or if you spot any old accounts you no longer use. Also, check the Access work or school section just in case your email is tied to an organization domain there.
Next, open your Start menu and type Credential Manager. Open the tool and select Windows Credentials. Scroll down to the Generic Credentials section and see if there are multiple entries starting with MicrosoftAccount:user followed by your email address.
Let me know what you find in those specific areas. Once we know what ghost accounts or tokens are lingering, we can target them properly.