Managing personal Outlook.com account settings, security, and privacy
Hello
Microsoft won't allow using an EXISTING outlook.com address as alias for another Microsoft account, because that outlook.com address is already its own Microsoft account. It is explained here: https://support.microsoft.com/en-us/office/add-or-remove-an-email-alias-in-outlook-com-459b1989-356d-40fa-a689-8f285b13f1f2
Go to your account online, then go to Your Info > Sign in preference, Add an alias.
You have two options here:
Create new: this will allow you to use the native domain outlook.com to create a new alias. (this is to create a new outlook.com address, not an existing one)
Add existing: this will allow you to add a 3rd party email address, such as yahoo, gmail, as long as they are not already associated with another Microsoft account.
Once added, make this new alias your primary alias, then you can delete the other email as alias, and that email is free from this Microsoft account instantly.
Most importantly, you want to go to Security > Manage how I sign in, make sure you update it here. This is what woudl be used to send you the 2FA code. Here you actually can add an existing outlook.com address.