Please try to reconfigure cli. Please double check databricks host

databricks configure --token

Regarding second command which you shared (%sh ls /Workspace)

it will not work on free community edition. There you can use only native function like -  dbutils.fs.ls and access only to dbfs file system.

Additionally even when it is not free edition you can not access directly /Workspace folder via shell as by default permissions there are managed by databricks console or CLI so shell access have to be disabled to that folder as it could make security issues.