Ah yeah my MSFT is in a state where everything is usable except Mojang account transfers. Support was unhelpful to gracefully resolve the situation, and recommended I give up and create a new MSFT account to hold the Mojang account, which I ended up doing. So now I have several MSFT accounts to hold various Mojang accounts.
That is every company these days. If you don't give them a phone number they assume you're a bot. The only people who know how to avoid this are the people who run bot farms.
I wonder why they even keep the "suspicious behaviour" front. My account got locked within seconds after creating it and I had to add a phone number. Who are they trying to protect against? Scammers who bought Minecraft? I didn't even have a chance to behave suspiciously.