AFAICT (from the behavior) something isn't properly saved/restored and communicating with the GPU (the mouse cursor is a hardware cursor thus needs to send commands to the GPU to update its position) causes some sort of issue. Switching to another virtual terminal that is running in text mode probably forces the driver to reset its graphics state. Of course that is just my assumption based on what i see going on.
Weirdly enough this only happens after i replaced my RX 5700 XT with a RX 7900 XTX so it might be something GPU (or GPU arch) specific.
I've been considering plugging my laptop and see if there is something i can figure out (GPU aside the PC is usable, but i guess if this a kernel side thing i'd need a second computer connected to it to debug it), but as this isn't something i've tried before (though i know someone who has and said it isn't anything special) my annoyance still hasn't gone over the "i need to get to the bottom of this" threshold :-P.
It'd be nice if 6.14 fixes the issue, though i am not sure as i rarely have more than 1/3rd of the system RAM (32GB) in use and VRAM (24GB) barely goes above 1-2GB of use outside games. But this post might be helpful in diagnosing the issue next time it happens :-).