Keyboard would not come up while using Apple Pencil in certain situations

If you are using Apple pencil on your ipad 8th gen and happen to log out of icloud, if you try to login again at the OTP or Passcode input screen the keyboard wouldn’t come up in certain situations and thus will not let you sign it.

the workaround is to reboot the ipad and then sign in before pairing the apple pencil. Has happened so may times but not able to figure out if this is due to a keyboard setting or there is a bug.