Solve Jest/Cypress conflict when using with Testing Library by using these custom wrappers:

cypress.ts

/**
 * The code is based on Gleb Bahmutov's [local-cypress](https://github.com/bahmutov/local-cypress).
 */

/// <reference types="cypress" />
/// <reference types="@testing-library/cypress" />

const win = window as unknown as Window & {
  assert: Chai.AssertStatic
  expect: Chai.ExpectStatic
  Cypress: Cypress.Cypress & EventEmitter
  cy: Cypress.cy & EventEmitter
}

/**
 * Object `cy` all Cypress API commands.
 * @see https://on.cypress.io/api
 * @example
 *  cy.get('button').click()
 *  cy.get('.result').contains('Expected text')
 */
export const cy = win.cy

/**
 * Holds bundled Cypress utilities and constants.
 * @see https://on.cypress.io/api
 * @example
 *  Cypress.config("pageLoadTimeout") // => 60000
 *  Cypress.version // => "6.3.0"
 *  Cypress._ // => Lodash _
 */
export const Cypress = win.Cypress

/**
 * Chai assertion
 * @example expect('hello').to.equal('hello')
 */
export const expect = win.expect

/**
 * Chai assertion
 */
export const assert = win.assert

// Mocha's globals as local variables
export const describe: Mocha.SuiteFunction = window.describe
export const context: Mocha.SuiteFunction = window.context
export const xdescribe: Mocha.PendingSuiteFunction = window.xdescribe
export const xcontext: Mocha.PendingSuiteFunction = window.xcontext
export const before: Mocha.HookFunction = window.before
export const beforeEach: Mocha.HookFunction = window.beforeEach
export const after: Mocha.HookFunction = window.after
export const afterEach: Mocha.HookFunction = window.afterEach
export const it: Mocha.TestFunction = window.it
export const test: Mocha.TestFunction = window.test
export const xit: Mocha.PendingTestFunction = window.xit

jest.ts

/// <reference types="@types/jest" />
/// <reference types="@types/testing-library__jest-dom" />

const gl = global as unknown as NodeJS.Global & {
  beforeAll: jest.Lifecycle
  beforeEach: jest.Lifecycle
  afterAll: jest.Lifecycle
  afterEach: jest.Lifecycle
  describe: jest.Describe
  fdescribe: jest.Describe
  xdescribe: jest.Describe
  it: jest.It
  fit: jest.It
  xit: jest.It
  test: jest.It
  xtest: jest.It
  expect: jest.Expect
}

export const beforeAll = gl.beforeAll
export const beforeEach = gl.beforeEach
export const afterAll = gl.afterAll
export const afterEach = gl.afterEach
export const describe = gl.describe
export const fdescribe = gl.fdescribe
export const xdescribe = gl.xdescribe
export const it = gl.it
export const fit = gl.fit
export const xit = gl.xit
export const test = gl.test
export const xtest = gl.xtest
export const expect = gl.expect