It’s only “Fixed” by deleting the config folder because you reverted back to default engine settings by doing that.
If you enable raytracing, ALL shaders have to be recompiled including engine shaders. Your project isn’t stuck, it’s compiling shaders. If you delete the config folder, then raytracing isn’t enabled, and you revert to the default shaders that have likely already been compiled and/or compile faster.
If you really want to see what’s happening, launch the engine with Visual Studio attached and it will dump shader compile messages to the output log.