fix(cli): switch default back to terminalBuffer=false and fix regressions introduced for that mode (#24873)

packages/cli/src/ui/components/shared/MaxSizedBox.tsx

@@ -115,7 +115,7 @@ export const MaxSizedBox: React.FC<MaxSizedBoxProps> = ({
     [id, removeOverflowingId],
   );
 
-  if (effectiveMaxHeight === undefined) {
+  if (effectiveMaxHeight === undefined && totalHiddenLines === 0) {
     return (
       <Box flexDirection="column" width={maxWidth}>
         {children}