Test failed to run to completion. Reason: 'Instrumentation run failed due to 'keyDispatchingTimedOut''. Check device logcat for details

Trying to test the presence of a dialog while the database is being initialized. The process of initialization is marked by LocalBroadcasts.

Test code.

private var listActivity: ListActivity? = null

@get:Rule
val activityTestRule = ActivityTestRule<ListActivity>(ListActivity::class.java)

@Before
fun setUp() {
    listActivity = activityTestRule.activity
}

@Test
fun testCheckActivityNotNull() {
    Assert.assertNotNull(listActivity)
}

/**
 * Test that we show a progress dialog while database init/migration is in process.
 * Test that we remove that on db init/migration success
 */
@UiThreadTest
@Test
fun testCheckProgressBarShownOnBroadcast() {
    Assert.assertNotNull(listActivity)

    var dbIntent = Intent()
    dbIntent.putExtra(DB_INIT_STATUS, DB_INIT_START)
    dbIntent.action = DB_INIT_STATUS
    LocalBroadcastManager.getInstance(ApplicationProvider.getApplicationContext()).sendBroadcast(dbIntent)

    Espresso.onView(withText(R.string.please_wait)).check(matches(isDisplayed()))
    Espresso.onView(withText(R.string.migrating_data)).check(matches(isDisplayed()))

    Thread.sleep(5000) // keeping a waiting time to check the view

    dbIntent = Intent()
    dbIntent.putExtra(DB_INIT_STATUS, DB_INIT_END)
    dbIntent.action = DB_INIT_STATUS
    LocalBroadcastManager.getInstance(ApplicationProvider.getApplicationContext()).sendBroadcast(dbIntent)

    Espresso.onView(withText(R.string.please_wait)).check(doesNotExist())
    Espresso.onView(withText(R.string.migrating_data)).check(doesNotExist())
}

Can't make out much of the logcat. Can share if needed.

I have recently shifted to androidx.test.rule.ActivityTestRule from ActivityInstrumentationTestCase2 and my test hungs on testCheckProgressBarShownOnBroadcast. Was working fine when I was on ActivityInstrumentationTestCase2

The error keyDispatchTimeout makes me feel I am not doing the test correctly.

Edit

'Instrumentation run failed due to 'keyDispatchingTimedOut'' is thrown when I try to interact with the UI. Otherwise, it goes to ANR. The onView is probably going into a deadlock.