iCloud sync stuck, "Reset Encrypted Data" option missing

Hi everyone,

I’m stuck in a frustrating loop with iCloud sync and I need help.

My iPhone keeps prompting me to "Enter Passcode for Your Other iPhone" to access end-to-end encrypted data (Health, Passwords, Maps). It is asking for the passcode of an old iPhone 5s that I no longer possess (it was discarded long ago).

The Problem:

According to Apple Support articles, I should be able to tap "Don't know iPhone passcode?" and then select "Reset End-to-End Encrypted Data".

However, when I tap "Don't know iPhone passcode?", the option to reset data does NOT appear. Instead, I only get a pop-up saying "Try Again Later", which forces me back to the previous screen. I am completely stuck.

What I have tried so far:

1. Checked my device list in Settings -> Apple ID. The old iPhone 5s is already removed from my account.
2. Tried toggling "Passwords & Keychain" and "Health" off in iCloud settings.
3. Restarted the device multiple times.
4. I tried to delete all icloud data (health, maps etc) that also didn't help me, also health 300kb data cannot be deleted i don't know why.

Has anyone encountered this UI glitch where the "Reset Data" button is missing? How can I force the reset to clear this old encrypted data?

Screenshots attached.

Thanks!