Crash on MergePrefabChanges when updating a Prefab by dragging and dropping it from the Hierarchy to the Project window

Reproduction steps:
1. Open the attached “repro-project“
2. Open the “Assets/Scenes/DiceScene.unity“ scene
3. Locate the “Dice” GameObject in the Hierarchy window
4. Drag and drop it into the “Assets/Prefabs” folder in the Project window
5. Observe the crash

Reproducible with: 2022.3.20f1, 2023.2.10f1, 2023.3.0b7
Could not test with: 2021.3.35f1 (due to an invalid script error when downgrading the project)

Reproduced on: Windows 10
Not reproducible on: No other environment tested

First few lines of the stack trace:
0x00007ff6ae1ddddc (Unity) MergePrefabChanges
0x00007ff6ae1bf29d (Unity) MergePrefabInternal
0x00007ff6ae1bdc1b (Unity) MergePrefab
0x00007ff6ae1bdf46 (Unity) MergePrefabInstance
0x00007ff6ae1be397 (Unity) MergePrefabInstances