95 m3 intermittant check engine light with hesitation

Hello everyone,
I need some assistance with a problem. I have 95 m3 with a dinan supercharger with 66,000 miles. I recently purchased this vehicle so unfortunately I do not have any history on the maintenance or prior issues. However, I have an issue with an intermittant check engine light. Until the light comes on there are no drivability issues. There is no commonality of when the light comes on except for it normally happens at slow speeds. The car might drive perfectly for a week without issues and then it might happen twice in the same day.

Once the light comes on the car has severe hesitation and bucking as if the spark or fuel was being cut to the engine and once the car went into limp mode. Once the engine is turned off and restarted it will drive normally again until the light comes back on. I have checked the fault codes with a Peake tool after every event and have gotten throttle position sensor (TPS), throttle position sensor and knock sensor together, and throttle position sensor and MAF. I replaced the throttle position sensor but that did not solve the issue, I still get the same codes, primarily TPS.

I inspected the ECU for water damage or corrosion and did not see any obvious signs of damage. I have checked for loose wiring to the TPS and the MAF but I don't see anything obvious. Does anyone have any idea what could cause the TPS fault codes besides a faulty TPS. I have checked other threads about TPS faults but mine seems a little different.
Any suggestions on what I should check next or what could be the problem?

I think Ive read somewhere that knock sensors on the 95 M3s make it do some crazy things since they need to be replaced or maybe a something with the tune
From my experience when my car threw a knock sensor code it slightly bucked in the high rpm range and also had a slight miss during idle

Drove all the way to work and home fine no issues on the highway, round trip about 70 miles. Then while idling at a light the check engine light came on. No change to the idle everything still smooth. Once I pulled away from the light the hesitation problems started again above 2000 rpms.

I let the car sit in my driveway still running and it idled fine. I reved the engine and held the throttle steady in neutral. The revs climbed steady from idle to 2000 rpms at which time the revs would drop to 1000 rpms and start climbing again until cutting out at 2000 rpms, repeatedly I held the throttle while the it did it four or five times each time cutting at exactly 2000 rpms. I can accelerate beyond 2000 rpms and things stay smooth above 4000 rpms. It seems as if fuel is cutting out between 2000 and 4000 rpms whenever the check engine light is on, and only when the check engine light is on.

I checked the fault code with my Peake tool and once again got a code for throttle position sensor. Which I replaced a few weeks ago.