Most of these external wheel speed sensors use a reed switch (very few use a hall, which requires three wires to it instead of just two like the reeds), and like any other mechanical switch they have a finite lifespan...and they are made of glass so they can also be damaged from sufficient vibration or impact on the sensor stick body.
If it actually is a hall sensor, make sure it's actually getting 5v from the CA. If it doesn't, it won't operate.
The sensor is not always glued in place inside the housing, and the cable can twist the body inside and cause misalignment you can't see. Or back out of hte housing enough to make the alignment mark on the housing no longer aligned to the sensor inside.
The other thing that happens is the solder connections to the sensor inside the housing break, or corrode, or the wire breaks inside the insulation usually at the exit of the housing where it hangs off (or wherever it is unsupported or pulled or bent sharply).
Occasionally it's a problem further up the wiring, like at the JST at the back of the CA itself, etc.
If your sensor connects to the PR first, and then that passes the sensor data to the CA, then it's an even more complex wiring and connection path you need to check.
None of these should cause the speed reading on the CA to do anything other than show zero, unless there is an intermittent connection on the signal line that unloads the line and makes it like an antenna, and allows other RF / signal noise to enter the CA's speedo signal line.
If you can't fix the issue mechanically or electrically you can use the onscreen menus of the CA to effectively disable speed limiting here by setting the limit higher than whatever the glitch is:
The Cycle Analyst display is our first flagship product released in 2006 and now in its 3rd generation. While the hardware design may be showing its age, it still has capabilities and functionalities that are unmatched by modern ebike systems with their pretty colour screens. This device also...
ebikes.ca
Just make sure you take pics of the screens before you change anything so you can put them back later.